This summary of decisions of the Auditing and Assurance Standards Board (AASB) has been prepared for information purposes only. Decisions reported are tentative and reflect only the current status of discussions on projects and other matters, which might change after further deliberations by the AASB. Decisions to publish exposure draft and Handbook material are final only after a formal voting process.
Canadian Auditing Standards
Listed Entity and Public Interest Entity
The AASB discussed feedback received on its Exposure Draft, “Proposed Narrow-scope Amendments to CAS 700, Forming an Opinion and Reporting on Financial Statements, and CAS 260, Communication with Those Charged with Governance, as a Result of the Revisions to the International Ethics Standards Board for Accountants (IESBA) Code that Require a Firm to Publicly Disclose When a Firm Has Applied the Independence Requirements for Public Interest Entities.” Key issues included:
- when auditors should be required to disclose in the auditor’s report the independence requirements they complied with;
- whether auditors should be required to communicate the independence requirements applied in their communications with those charged with governance; and
- the potential Canadian amendments to the International Auditing and Assurance Standards Board’s (IAASB) proposed revisions.
The AASB also discussed its draft response to the IAASB’s Exposure Draft, “Proposed Narrow Scope Amendments to ISA 700 (Revised), Forming an Opinion and Reporting on Financial Statements, and ISA 260 (Revised), 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 (PIE).”