| 1. | This International Standard on Auditing (UK and Ireland) (ISA (UK and Ireland)) deals with the auditor's responsibility to communicate with those charged with governance in an audit of financial statements. Although this ISA (UK and Ireland) applies irrespective of an entity's governance structure or size, particular considerations apply where all of those charged with governance are involved in managing an entity, and for listed entities. This ISA (UK and Ireland) does not establish requirements regarding the auditor's communication with an entity's management or owners unless they are also charged with a governance role. |
| 2. | This ISA (UK and Ireland) is written in the context of an audit of financial statements, but may also be applicable, adapted as necessary in the circumstances, to audits of other historical financial information when those charged with governance have a responsibility to oversee the preparation of the other historical financial information. |
| 3. | Recognizing the importance of effective two-way communication in an audit of financial statements, this ISA (UK and Ireland) provides an overarching framework for the auditor's communication with those charged with governance, and identifies some specific matters to be communicated with them. Additional matters to be communicated, which complement the requirements of this ISA (UK and Ireland), are identified in other ISAs (UK and Ireland) (see Appendix 1). In addition, ISA (UK and Ireland) 2651 establishes specific requirements regarding the communication of significant deficiencies in internal control the auditor has identified during the audit to those charged with governance. Further matters, not required by this or other ISAs (UK and Ireland), may be required to be communicated by law or regulation, by agreement with the entity, or by additional requirements applicable to the engagement, for example, the standards of a national professional accountancy body. Nothing in this ISA (UK and Ireland) precludes the auditor from communicating any other matters to those charged with governance. (Ref: Para. A24-A27) |
| 1 ISA (UK and Ireland) 265, "Communicating Deficiencies in Internal Control to Those Charged with Governance and Management." |
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