The most common service that accountants perform that impairs independence is bookkeeping services. However, the mere performance of bookkeeping services or other services that assist small businesses do not necessarily impair independence.

What impairs auditor independence?

Independence will be considered to be impaired if, during the period of a professional engagement, a member or his or her firm had any cooperative arrangement with the client that was material to the member's firm or to the client.

Is bookkeeping a Nonattest service?

The documentation requirement applies to any nonattest services (for example, financial statement preparation, bookkeeping, tax, or consulting services) performed by the member for an attest client.