2022-2023 IAASB Work Plan Approved Pending PIOB Approval

Jan 11, 2022

On January 11, 2022, the International Auditing and Assurance Standards Board (IAASB) approved a new work plan, "A Public Interest Focus in Uncertain Times", during its December 2021 meeting. Pending approval by the Public Interest Oversight Board (PIOB), anticipated in early April 2022, the work plan will guide the IAASB’s work in 2022 and 2023, reflecting the IAASB Strategy for 2020-2023.

Sustainability and environmental, social, and governance (ESG) assurance are a prominent addition to the new work plan and will see increased time and resourcing for 2022–2023. In addition, the new work plan highlights candidate topics in the Audit and Review space (e.g., responding to assessed risks of material misstatement and the impact of technology on various standards) that the IAASB will consider for a further project to commence in 2023. A key focus will remain the progression and completion of projects underway at the start of 2022, including audits of financial statements of less complex entities, audit evidence, going concern, and fraud.

Review the press release and new work plan on the IAASB's website.

AASB Exposure Draft – CAS 500, Audit Evidence

Nov 23, 2022

On No­vem­ber 23, 2022, the Auditing and Assurance Stan­dards Board (AASB) is­sued an Exposure Draft of proposed amend­ments to Canadian Audit Standard (CAS) 500, "Audit Evidence". Comments on the Exposure Draft are requested by March 15, 2023.

The proposed amendments are consistent with the amendments proposed by the IAASB to its International Standard on Auditing (ISA) 500, “Audit Evidence”. The AASB plans, subject to comments received following exposure, to adopt proposed ISA 500 (Revised), and the proposed conforming and consequential amendments to other ISAs. The result would be revised respective CASs.

Re­view the press release and related Exposure Draft on the CPA Canada's web­site.

AASB Exposure Draft issued: Amendments to the CASs with respect to the IESBA’s Revised Definitions of Listed Entities and PIEs

Aug 09, 2022

On August 9, 2022, the Auditing and Assurance Standards Board (AASB) issued an Exposure Draft of “Proposed Narrow-scope Amendments to CAS 700, Forming and Opinion and Reporting on Financial Statements, and CAS 260, Communication with Those Charged with Governance, as a Result of the Revisions to the IESBA Code that Require a Firm to Publicly Disclose When a Firm Has Applied the Independence Requirements for Public Interest Entities”. Comments to the AASB must be received by September 16, 2022.

The Exposure Draft is similar to the one of the same name issued by the IAASB on July 6, 2022 relating to changes to the ISAs for which comments are due by October 4, 2022.

Re­view the press re­lease and Exposure Draft on the AASB's web­site.

AASB issues FAQs on Extended External Reporting (EER)

Jan 07, 2022

On January 7, 2022, the Auditing and Assurance Standards Board (AASB) issued FAQs regarding assurance in respect of sustainability and environmental, social and governance. Check out these FAQs for all the information you need.

Re­view the FAQs on the AASB's web­site.

Appointments, Reappointments, and Retirements – AASOC

Mar 29, 2022

On March 29, 2022, the Auditing and Assurance Standards Oversight Council (AASOC) announced the reappointment of Caroline Nadeau, Deloitte Professional Practice Director, to the AASB for a two-year term ending on March 31, 2024.

Review the complete list on the AASOC's website.

Audits of Less Complex Entities – Progress Toward a Solution

Sep 13, 2022

On September 13, 2022, the Auditing and Assurance Standards Board (AASB) provided an update on its progress to finding a solution for practitioners in applying Canadian Auditing Standards to audits of less complex entities.

This update includes:

  • overview of Discussion Paper respondents;
  • what you told us;
  • what we are doing now; and
  • what assistance is available now

Review the report on the AASB's website.

Balancing urgency and effectiveness in international sustainability assurance standards

Jun 08, 2022

On June 8, 2022, the International Audit Assurance and Standards Board (IAASB) released a statement by Tom Seidenstein, IAASB Chair, on how the IAASB is taking the next steps for new standards for ESG assurance.

With global assets in sustainability and ESG-related investment vehicles due to surpass $53 trillion by 2025, the need for reliable, neutral, and comprehensive frameworks for reporting sustainability information is evident. And policymakers and regulatory bodies have taken note. The European Union (EU) continues to negotiate terms for its Corporate Sustainability Reporting Directive. This past March, the U.S. Securities and Exchange Commission proposed new rules regarding disclosure of climate-related risks. The newly formed International Sustainability Standards Board (ISSB), which has support of the G20 and others, issued their exposure drafts for sustainability reporting for public comment. The International Organization of Securities Commissions and Financial Stability Board weighed in on climate-related disclosures as well.

Review the press release on the IAASB's website.

CAQ Issues Discussion Document on Monitoring Inflation

Jun 20, 2022

The Center for Audit Quality (CAQ) International Practices Task Force (IPTF) issued a discussion document, Monitoring Inflation in Certain Countries. The discussion document addresses the IPTF’s “framework for compiling inflation data to assist registrants in monitoring inflation statistics in connection with their determination of the inflationary status of countries in which they have operations.”

The document notes that Ethiopia, Suriname, Turkey, and Yemen have been added to the list of countries with three-year cumulative inflation rates exceeding 100 percent.

Review the document on the CAQ's website.

CAQ Issues Publication on Audit Committee Practices

Jan 26, 2022

In January 2022, the Center for Audit Quality (CAQ) and Deloitte’s Center for Board Effectiveness released a publication "Audit Committee Practices Report: Common Threads Across Audit Committees".

The publication provides insight into important current issues for audit committees and leading practices for executing their responsibilities effectively.

Review the publication on the CAQ's website.

CPAB Audit Quality Insights Report: 2022 Interim Inspections Results

Oct 20, 2022

On October 20, 2022, the Canadian Public Accountability Board (CPAB) released its interim public report on its 2022 audit quality assessments. The report provides a snapshot of themes and insights from our 2022 audit quality assessment work to date.

The interim report also highlights CPAB's observations related to progress on the implementation of the new quality management standards, auditor independence and objectivity. It provides insight into their activities on firm culture and the results of thematic reviews on climate, fraud and going concern.

Overall considerations for audit committees are also included as year-end audit preparations begin.

CPAB encourages public accounting firms to provide this report to their reporting issuers’ audit committees. Audit committees should discuss this report, any file-specific findings and any remediation action taken, if applicable, with their external auditor.

Review the report on the CPAB's website.

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