At its meeting on October 16-18, 2017, the AASB discussed the following key issues:

• whether the threshold of low inherent risk should be removed;
• emphasizing the spectrum of risk to demonstrate scalability;
• providing some examples to demonstrate scalability; and
• the proposed testing strategies and requirements related to control testing and work effort.

Review the executive summary on the AASB's Web site.

At its meeting on October 16-18, 2017, the AASB discussed issues related to the CASs on auditor reporting, including: (i) the effective date of key audit matters reporting for TSX-listed entities; (ii) whether there are implications of disclosing the engagement partner’s name in the auditor’s report not previously considered; and (iii) the status of activities related to developing a combined U.S. and Canadian auditor’s report, and potential for acceptance by the U.S. Securities and Exchange Commission.

The Board will continue to discuss these and other issues at future meetings.

Review the executive summary on the AASB's Web site.

At its meeting on October 16-18, 2017, the AASB provided input to the CPA Canada nominee on the IAASB on issues related to the IAASB’s project to amend ISA 315 (Revised), Identifying and Assessing the Risks of Material Misstatement through Understanding the Entity and Its Environment, including: (i) proposed definitions for “internal controls” and “controls”; (ii) proposed changes relating to enhancing the auditor’s considerations of IT, in particular, as related to identifying and understanding general IT controls; and (iii) the requirement to obtain an understanding of the entity and its environment and the applicable financial reporting framework.

Review the executive summary on the AASB's Web site.

At its meeting on October 16-18, 2017, the AASB unanimously approved a project proposal to consider adopting (if appropriate) the revised ISRS 4400, Engagements to Perform Agreed‐Upon Procedures Regarding Financial Information, for use in Canada. If adopted, CSRS 4400 would replace existing standard Section 9100, Reports on the Results of Applying Specified Auditing Procedures to Financial Information Other than Financial Statements. Depending on the direction taken by the IAASB with regard to non-financial information, CSRS 4400 may also replace Section 9110, Agreed‐Upon Procedures Regarding Internal Control over Financial Reporting. This project also includes providing staff support to the IAASB.

Review the executive summary on the AASB's Web site.

At its meeting on October 16-18, 2017, the AASB discussed issues identified in developing a revised standard to replace Section 9200, Compilation Engagements, including requirements related to: (i) the practitioner’s knowledge of the entity; (ii) performing the engagement; (iii) documentation requirements; and (iv) matters affecting engagement acceptance and terms of the engagement.

The Compilation Engagement Task Force also provided an update on the online survey, seeking feedback on proposed changes to the standard. This survey is anticipated to be launched by the end of October 2017.

Review the executive summary on the AASB's Web site.

At its meeting on October 16-18, 2017, the AASB reviewed revisions resulting from comments received on the re-exposure of proposed CSAE 3530, Special Considerations — Attestation Engagements to Report on Compliance, and CSAE 3531, Special Considerations — Direct Engagements to Report on Compliance. Key comments discussed included: (i) the reporting requirements relating to: (a) the informative summary of the work performed; and (b) the statement that the engagement is not a legal analysis; (ii) the requirement to obtain management acknowledgement that the criteria and significant interpretations developed for the engagement are appropriate; (iii) the use of subtitles in the illustrative reports; and (iv) aggregating instances of non-compliance.

The Board will continue to discuss these and other issues at its next meeting.

Review the executive summary on the AASB's Web site.