A copy of the revised JPS can be obtained on the AASB’s website.

The JPS will be added to the CPA Canada Handbook, Assurance shortly, as an appendix to CAS 500, Audit Evidence.

Specifically, IASB member Rika Suzuki takes a look into (i) how companies could disclose better information about business combinations and (ii) whether to retain the impairment-only model to account for goodwill or to explore reintroducing amortization of goodwill.

For more information, see the press release and ‘In Brief’ article on the IFRS Foundation’s website.

Below is an analysis of all changes made to the work plan since our last analysis on December 19, 2022.

Stan­dard-set­ting projects

• Dis­clo­sure Ini­tia­tive — Targeted Stan­dards-level Review of Dis­clo­sures  — The project summary is now expected in March 2023 (pre­vi­ously Q1 2023).
• Second com­pre­hen­sive review of the IFRS for SMEs Accounting Standard — Feedback on the exposure draft is expected in Q2 2023 (pre­vi­ously H1 2023).
  

Main­te­nance projects

• Amend­ments to the clas­si­fi­ca­tion and mea­sure­ment of financial in­stru­ments — This project exposure draft is now expected in March 2023 (pre­vi­ously Q1 2023).
• International Tax Reform — Pillar Two Model Rules— Feedback on the exposure draft is expected by April 2023.
• Lack of ex­change­abil­ity (amend­ments to IAS 21) — Final amend­ments to IAS 21 are expected in H2 2023 (pre­vi­ously H1 2023).

Research projects

• Equity Method— A decision on the project direction is expected in April 2023.
• Ex­trac­tive Ac­tiv­i­ties — A decision on the project direction is now expected in H2 2023 (pre­vi­ously Q2 2023).
• Post-im­ple­men­ta­tion Review of IFRS 15— Request for in­for­ma­tion is expected in Q2 2023 (pre­vi­ously H1 2023).
• Post-im­ple­men­ta­tion review — IFRS 9 (Clas­si­fi­ca­tion and mea­sure­ment) — Removed from the work plan since the release of the final project report and feedback statement concluded the project on December 21, 2022.

Strategy & gov­er­nance projects

• ISSB Con­sul­ta­tion on Agenda Pri­or­i­ties— Request for in­for­ma­tion is expected in Q2 2023 (pre­vi­ously H1 2023).

Other projects

• IFRS Sus­tain­abil­ity Dis­clo­sure Taxonomy — The proposed IFRS Sus­tain­abil­ity Dis­clo­sure Taxonomy is expected in H2 2023.

The above is a faithful com­par­i­son of the IASB and ISSB work plan at December 19, 2022 and January 30, 2023 respectively. For access to the current work plan at any time, please click here.

Group audits were not included in the scope of the original Exposure Draft of the ISA for LCE. Given stakeholder feedback, the IAASB reconsidered its decision to exclude group audits and developed proposals that address audits of less complex groups.

With the inclusion of group audits, the IAASB has proposed changes to the Authority of the proposed ISA for LCE. For example, the IAASB removed the prohibition on using the standard when the audit is a group audit unless component auditors are involved, other than in limited circumstances in which a physical presence is needed for a specific audit procedure for the group audit (e.g., for attending a physical inventory count or inspecting physical assets).

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

The narrow-scope amendments to IAS 1 require entities to disclose their material accounting policy information, instead of significant accounting policies. The amendments are effective for annual reporting periods beginning on or after January 1, 2023, with early application permitted.

Of note, the Guide is intended to assist auditors with respect to these amendments to IAS 1. The publication does not amend or override the CASs, the texts of which alone are authoritative. Reading the publication is also not a substitute for reading the CASs

Re­view the Guide on the AASB's web­site.

The AcSB Exposure Draft is similar to the Exposure Draft of the same name recently issued by the IASB, and reflects proposals made by the IASB that the AcSB intends to adopt, subject to deliberating comments received, as Canadian generally accepted accounting principles.

The AcSB encourages Canadian stakeholders to respond to the IASB on its Exposure Draft. Specific questions on which the IASB would like input are provided in the Invitation to Comment in its Exposure Draft. The AcSB requests that comment letters be sent directly to the IASB with a copy to the AcSB. Comments to the IASB are due by March 10, 2023. Responses to the AcSB on its Exposure Draft are due on the same date.

Re­view the Exposure Draft  on the AcSB's web­site.

To modernize the PCAOB’s confirmation standard, the proposed standard includes principles-based requirements that would apply to all methods of confirmation, including paper-based and electronic communications. The proposal, if adopted, would better integrate the PCAOB’s confirmation standard with its risk assessment standards.

The confirmation process touches nearly every audit. It involves an auditor sending a confirmation request directly to a confirming party (e.g., a financial institution), evaluating the information received, and addressing nonresponses and incomplete responses to obtain audit evidence about one or more financial statement assertions.

When properly designed and executed, confirmation can be a critical part of the evidence that auditors obtain to support their opinion regarding a company’s financial statements. A properly designed and executed confirmation can also be an important response for auditors to address fraud risks.

Detailed questions are included throughout the proposal, and commenters are encouraged to:

1. comment on any or all topics
2. respond to any or all questions
3. provide feedback in areas not covered by specific questions, and
4. provide any evidence that informs commenters’ views.

Review the proposal on the PCAOB's website.

Review the article

Review the article

Review the press release and rulemaking list on the SEC's website.