SSAE 16 Overview
Statement on Standards for Attestation Engagements (SSAE) No. 16, Reporting on Controls at a Service Organization, was finalized by the Auditing Standards Board of the American Institute of Certified Public Accountants (AICPA) in January 2010. SSAE 16 effectively replaces SAS 70 as the authoritative guidance for reporting on service organizations. SSAE 16 was formally issued in April 2010 with an effective date of June 15, 2011. You can order a copy of SSAE 16 from the AICPA's online store at http://www.cpa2biz.com - publication number 023035.
SSAE 16 was drafted with the intention and purpose of updating the US service organization reporting standard so that it mirrors and complies with the new international service organization reporting standard – ISAE 3402.
For service organizations that currently have a SAS 70 service auditor’s examination (“SAS 70 audit”) performed, some changes will be required to effectively reporting under the new SSAE 16 standard.
Additional information on SSAE 16 and Service Organization Control reports can be viewed at the AICPA's new web page (http://www.aicpa.org/soc).