The International Auditing and Assurance Standards Board (IAASB) released a Discussion Paper, Audits of Less Complex Entities: Exploring Possible Options to Address the Challenges in Applying the ISAs.
In order to achieve its objective of enhancing the quality and consistency of audit practice throughout the world, and strengthening public confidence in the global auditing and assurance profession, the IAASB develops and maintains one set of auditing standards. These are applied to a wide variety of entities with differing circumstances. Recognizing the challenges faced by practitioners in applying the International Standards on Auditing (ISAs), in particular for engagements where the entity being audited is less complex, this Discussion Paper focuses on audits of less complex entities (LCEs) using the ISAs, and sets out:
Challenges that have been identified to date.
A number of possible actions that could be undertaken to address the identified challenges.
The purpose of this consultation is to obtain input on the challenges and to help the IAASB determine its actions in relation to audits of LCEs. Accordingly, the IAASB is looking for input from all stakeholders, but in particular practitioners auditing LCEs on the matters set out in this Discussion Paper, as well as any other challenges or possible actions it had not yet thought about.
ISCA takes a leading role in advocating the views and proposals of the audit community in Singapore. ISCA would hence like to seek views from key stakeholders in Singapore on the above.