To require auditor independence standards of the Public Company Accounting Oversight Board and the Securities and Exchange Commission applicable to past audits of a company occurring before it was a public company to treat an auditor as independent if the auditor meets established professional standards, and for other purposes.

Bill 118 hr 2606, also known as the "Auditor Independence Standards Act," aims to establish auditor independence standards for the Public Company Accounting Oversight Board (PCAOB) and the Securities and Exchange Commission (SEC) in relation to past audits of companies that were conducted before they became public companies. The bill proposes that auditors should be considered independent if they adhere to established professional standards.

The main goal of this legislation is to ensure that auditors maintain their independence and objectivity when conducting audits of companies, even if those audits were performed before the company went public. By requiring auditors to meet professional standards, the bill seeks to enhance the credibility and reliability of financial reporting for both public and private companies.

In addition to setting standards for auditor independence, the bill also includes provisions for other purposes related to improving the oversight and regulation of auditors in the financial industry. Overall, the Auditor Independence Standards Act aims to strengthen the integrity of financial reporting and promote transparency in the auditing process.