In developments this week, the Institute has issued Technical Alert TA 03/2021 to highlight to members the key new requirements of the ISAs applicable in Ireland and to add some clarification; the International Federation of Accountants (IFAC) has published a framework for implementing global sustainability standards at the local level, focusing on the building blocks approach published in May 2021.
Read more on these and other developments that may be of interest to members below.
Auditing
The Financial Reporting Council (FRC) has published a letter providing feedback on the actuarial aspects of insurance entity audits. The feedback is based on recent AQR reviews across various audit firms.
Guidance on revised ISAs
Revised International Standards on Auditing (ISAs) (Ireland) were issued in November 2020 by IAASA and are effective for audits of financial statements for periods beginning on or after 15 July 2021, with early adoption permitted.
We have issued Technical Alert TA 03/2021 to highlight to members the key new requirements of the ISAs applicable in Ireland and to add some clarification.
ICAS
The Institute of Chartered Accountants of Scotland (‘ICAS’) has applied to IAASA to have its recognition revoked in December 2021. If ICAS’ recognition were to be revoked, it would mean that ICAS would no longer be able to approve statutory auditors in Ireland. It also means that ICAS members in Ireland would no longer be regulated by IAASA.
Sustainability
The International Federation of Accountants (IFAC) has published a framework for implementing global sustainability standards at the local level, focusing on the building blocks approach published in May 2021
Other Areas of interest
Many small and medium sized enterprises (SMEs) in Europe are technology innovators or have taken major steps towards digitalisation. Accountancy Europe have just issued a paper setting out how professional accountants help with this digitalisation.
The International Valuation Standards Council (IVSC) has published a perspectives paper 'Time to get Tangible about Intangible Assets' that notes that despite the importance of intangible assets to the capital markets, only a small percentage are recognised on balance sheets.
For further technical information and updates please visit the Technical Hub and the Covid-19 Hub on the Institute website.