This series of resources will provide you with useful and relevant technical information related to accounting, audit and the risks as a result of COVID-19.
Issued By ISCA
ISCA has issued FRB 6 "COVID-19 Government Relief Measures: Accounting for the grant provided by the Singapore Government for wages paid to local employees under the Jobs Support Scheme"
The Jobs Support Scheme (JSS) was put in place to help employers retain their local employees during this period of economic uncertainty. ISCA has received feedback that there is uncertainty on the accounting of JSS payouts by entities, especially by entities with a financial reporting period ended 31 March 2020.
FRB 6 was issued to address the above uncertainty. It also includes an illustrative example to aid in the understanding of the principles being applied.
ISCA has issued FRB 5 “COVID-19 Government Relief Measures: Accounting for Singapore property tax rebate from the perspective of the landlord and the tenant”
To help businesses deal with the impact from COVID-19, the Singapore Government has given property tax rebate to qualifying non-residential properties for the period from 1 January to 31 December 2020.
FRB 5 was issued to provide accounting guidance and key considerations on how to account for above property tax rebate granted by the Singapore Government to the landlord (from the landlord’s perspective) and how to account for the related rental rebate granted by the landlord to the tenant (from the tenant’s perspective). FRB 5 also includes an illustrative example to aid in the understanding of the principles being applied.
In view of the far-reaching accounting and auditing implications of COVID-19, the ISCA Auditing and Assurance Standards Committee (AASC) and Financial Reporting Committee (FRC), in collaboration with ACRA, have formed a joint COVID-19 working group to address the challenges faced by the accountancy profession through FAQs. These FAQs will be made available here.
ISCA has issued FRB 2 "Accounting implications arising from COVID-19 for entitles with 31 December 2019 financial reporting date"
In response to the COVID-19 outbreak, FRB 2 was issued to share ISCA's Financial Reporting Committee's views on the accounting implications arising from COVID-19 for entities with 31 December 2019 financial reporting date.
FRB 2 also covers other associated accounting implications arising from the COVID-19 outbreak such as required disclosures in the financial statements and going concern assessment.
AGS 12 Group Audits - Inaccessibility of Component Auditors’ Work Papers and Other Considerations
In response to the COVID-19 outbreak, ISCA has issued AGS 12 which provides guidance on reliance on the work performed by the component auditor in situations where the group engagement team has determined it to be necessary to review the component auditor's work papers but is unable to access them due to an extraordinary event which restricts travel.
AGS 12 also provides guidance on other applicable audit considerations in such extraordinary events.
The guidance was published to help directors in their reviews of financial statements during the COVID-19 situation. It highlights areas that may require close attention by directors before approving the company's financial statements.
The Financial Action Task Force (FATF) paper identifies challenges, good practices and policy responses to new money laundering and terrorist financing threats and vulnerabilities arising from the COVID-19 crisis.
IESBA Staff released a Question and Answer (Q&A) publication to highlight aspects of the Code of Ethics that might be relevant in navigating ethics and independence challenges and risks as a result of the COVID-19 crisis.
The International Auditing and Assurance Standards Board (IAASB) has created a COVID-19 web page to help their stakeholders and the larger accounting community navigate some of the challenges ahead. Included within is guidance on audit considerations arising from changes due to COVID-19.