IESBA Completed Projects
The Inducements project aims to strengthen the provisions in Part 2 of the International Code of Ethics for Professional Accountants (including International Independence Standards) (the “restructured Code”) to assist professional accountants in business (PAIBs) in better dealing with the offering and accepting of inducements while complying with the fundamental principles, in particular the principles of integrity, objectivity and professional behavior.
The proposed enhancements to Part 2 are also applicable to professional accountants in public practice (PAPPs). This is because it is likely that circumstances PAPPs encounter involving inducements that might create threats to compliance with the fundamental principles would be similar to those encountered by PAIBs. Accordingly, consequential and conforming amendments are reflected in Part 3, Part 4A and Part 4B of the Code.
This project was formerly referred to as Phase 2 of the Review of Part C of the Code Project(Part C) project.
The project is intended to evaluate and make recommendations on the clarity, appropriateness and effectiveness of the current overview of safeguards in Sections 100 and 200 of the Code and those safeguards that pertain to NAS in Section 290 of the Code.
To identify and recommend to the Board ways to improve the clarity and usability of the Code, thereby facilitating its adoption, effective implementation and consistent application.
Members of this task force participated in the
To develop application material relating to professional skepticism (PS) and professional judgment (PJ), in the context of audits, reviews, and other assurance engagements. This short-term project is expected to be finalized at the December 2017 IESBA meeting.
To provide guidance for professional accountants on how best to act in the public interest when they become aware of a suspected illegal act (or non-compliance with laws and regulations (NOCLAR)).
To review the non-assurance services provisions in Sections 290 and 291 of the Code to ensure that they continue to support a rigorous approach to independence for assurance services, particularly audits of financial statements.
The objective of the project is to review Part C to ensure that its provisions remain appropriate and are robust.
This project will review the long association provisions in Section 290 of the Code to ensure that they continue to provide robust and appropriate safeguards against the familiarity and self-interest threats arising from long association with an audit client.
To reconsider the provisions in the Code that address an inadvertent violation of the Code.
To revise Sections 220, Conflicts of Interest, and 310, Potential Conflicts, of the Code to establish more specific requirements and provide more comprehensive guidance to support professional accountants in public practice and professional accountants in business, respectively, in identifying, evaluating and managing conflicts of interest.