18 October 2021
Description
The Auditing and Assurance Council (AASC) is the body authorized to establish and promulgate audiing standards in the Philippines. The AASC pronouncements are mainly adopted from the International Standards on Auditing (ISAs), Quality Control, Review, Other Assurance and Related Services and International Auditing Practice Notes issued by the International Auditing and Assurance Standards Board (IAASB). The IAASB was established by the International Federation of Accountants (IFAC) to develop and issue such pronouncements, collectively referred to as “IAASB’s Standards and Practice Notes.” AASC’s main objective in adopting IAASB’s Standards and Practice Notes is to attain uniformity of the local auditing standards and other pronouncements with IAASB’s pronouncements. This harmonization is expected to enhance the reliability and acceptability of audited financial statements of Philippine companies.
In connection with its standard-setting function, the AASC has approved the distribution for comments of ED No. 001-2021: Proposed Philippines Standard on Auditing, Philippine Standard on Auditing for Audits of Financial Statements of Less Complex Entities (PSA for LCE). This ED, including glossary and supplemental guidance, is the exact version prepared by the IAASB, which is entitled “Proposed International Standard on Auditing, International Standard on Auditing for Audits of Financial Statements of Less Complex Entities (ISA for LCE)” and is proposed for adoption in the Philippines in its entirety. The proposals in the ED will be appropriately localized and may be modified in light of comments received before being issued in final form.
Download The Cover Letter
Download The Draft Preface to ISA4CLE
Download The IAASB Exposure Draft Audits Less Complex Entities
Download The IAASB Audits Less Complex Entities Supplemental Guidance Authority
Download The IAASB Draft Less Complex Entities Supplemental Guidance Auditor Reporting
Download The IIAASB Audits Less Complex Entities Glossary