Reporting on Controls at a Service Organization (Amendments to CSAE 3416) [Completed]

Effective date:

Effective for service auditors’ reports for periods ending on or after September 15, 2020. 

Included in the CPA Canada Handbook – Assurance:

Expected to be included in a Handbook update in September 2019

Last up­dated:

August 2019


The objective of this project is to update CSAE 3416, Reporting on Controls at a Service Organization, which was issued in 2010.

At that time, feedback from Canadian stakeholders indicated that the marketplace for these engagement types is highly integrated between Canada and the United States. A decision was made to align the Canadian and equivalent American Institute of Certified Public Accountants’ (AICPA) attestation standards. Recent anecdotal evidence indicates that alignment between Canada and the United States is still desired.

The project will consider alignment with: (i) the AICPA’s new attestation standard AT-C Section 320, which is effective for service auditor’s reports dated on or after May 1, 2017; (ii) the IAASB’s ISA 3402, Assurance Reports on Controls at a Service Organization; and (iii) the AASB’s umbrella standard CSAE 3000, Attestation Engagements Other than Audits or Reviews of Historical Financial Information.


Other de­vel­op­ments

August 2019

On August 30, 2019, the AASB released the Basis for Conclusions, which is a summary of the process followed in issuing CSAE 3416 and the Board’s conclusions regarding significant comments received in response to its Exposure Draft.

July 2019

In July 2019, the AASB staff updated this project to note that the Board expects to finalize the Handbook material in Q4/2019.

December 2018

On December 18, 2018, the AASB issued an Exposure Draft proposing revision to CSAE 3416. Stakeholders are encouraged to submit their comments by February 28, 2019.

July 2018

In July, 2018, the staff of the AASB updated the information in respect of this project to advise that the AASB expects issue an Exposure Draft in respect of this project in Q1/2019.

June 2018

In June 2018, the AASB staff updated this project to indicate that the AASB expects to issue an exposure draft in Q4/2018.

November 2016

In November, 2016, the AASB ap­proved a pro­ject to update CSAE 3416.


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