SOX Compliance Act The Sarbanes–Oxley Act of 2002 was enacted in July 30 2002. It is also known as the ''Public Company Accounting Reform and Investor Protection Act'' and ''Corporate and Auditing Accountability and Responsibility Act'' .It is commonly known as Sarbanes–Oxley Sarbox or SOX. SOX is a United States federal law which set new or enhanced standards for all U.S. public company boards management and public accounting firms. It is named after sponsors U.S. Senator Paul Sarbanes and U.S. Representative Michael G. Oxley. Need for SOX compliance It is essential for every organisations to report their internal audit structure to Securities and Exchange Commission(SEC). The scandal made by the organisations is the major cause for the development of SOX. It improves the reliability of financial reporting and increases public awareness about the importance of audits. This act significantly raises criminal penalties for fraudulent behaviour for destroying altering or fabricating records or any attempt to defraud shareholders. IT & SOX compliance It is the duty of IT to appoint authorized people to conduct all financial transactions and data entry and all transactions must be tracked in ways that support comprehensive auditing. To meet these and other business requirements IT executives must ensure that the identity and access management (IAM) solutions at their enterprises deliver adequate levels of demonstrable transparent compliance. Proper auditing must be done in IT organizations. IT auditor has to assure internal control quality security privacy of information