A new, updated, customizable^* brochure for IFAC member organizations ONLY, Choosing the Right Service: Comparing Audit, Review, Compilation, and Agreed-Upon Procedures Services, is here!

Earlier today the International Federation of Accountants (IFAC) released updates to two previously published international standard support resources:

• Agreed-Upon Procedures (AUP) Engagements: A Growth and Value Opportunity (the AUP Publication): Describes AUP engagements, when they are appropriate, and identifies key client benefits. It also covers AUP engagements on financial and non-financial subject matters, provides six short case studies with example procedures that might be applied and two illustration AUP reports from ISRS 4400 (Revised).
• Choosing the Right Service: Comparing Audit, Review, Compilation, and Agreed-Upon Procedures Services (the Brochure): Explains and differentiates the range of audit, review, compilation, and agreed-upon procedures services which practitioners can provide in accordance with relevant international standards. It can help current and prospective clients understand the range of services available, when they are appropriate, as well as their benefits.

Both resources have been updated to reflect International Standard on Related Services 4400 (Revised), Agreed-Upon Procedures Engagements, which was approved by the International Auditing and Assurance Board (IAASB) earlier this year and is effective for agreed-upon procedures engagements for which the terms of engagement are agreed on or after January 1, 2022.

The demand for AUP engagements continues to grow as a broad range of stakeholders, such as regulators, funding bodies, and creditors use agreed-upon procedures reports for a variety reasons. Flexibility is a key benefit of AUP engagements, as they can be tailored to different circumstances and focused on individual items of financial or non-financial subject matters.

One of IFAC’s three strategic objectives is contributing to and promoting the development, adoption, and implementation of high-quality international standards. There are numerous additional guidance and support resources available on the dedicated ‘Supporting International Standards’ section of the IFAC Knowledge Gateway.

IFAC applauds the publication today of Reporting on Enterprise Value, Illustrated with a Prototype Climate-Related Financial Disclosure Standard, a new report from leading sustainability and integrated reporting organizations CDP, CDSB, GRI, IIRC, and SASB.

The report represents another milestone in the journey to enhancing corporate reporting, and stands to advance the dialogue between companies and their investors and stakeholders through reporting of sustainability-related information.

In September 2020, IFAC published The Way Forward, a call for the creation of an international sustainability standards board. Earlier this month, IFAC issued its response to the IFRS Foundation Consultation Paper on Sustainability Reporting, where we reiterated our view that the IFRS Foundation should establish a new sustainability standards board alongside the IASB, to focus on reporting requirements that address enterprise value creation, and to deliver at speed by leveraging the expertise and standards that already exist as a result of work by CDP, CDSB, GRI, IIRC, SASB as well as the TCFD.

Today’s report not only provides a valuable starting point for this IFRS initiative, but also clearly demonstrates the collaborative intent and effort of these organizations—now and going forward.

IFAC encourages our members and stakeholders to respond to the IFRS Consultation Paper by December 31. IFAC will continue to speak out on behalf of the global accountancy profession in support of a global solution for reporting sustainability information.

Professional accountancy organizations are witnessing several trends placing new demands on professional accountants’ skillset and roles. The accountancy profession will need to adapt in a meaningful way to tackle the future needs of the profession but how? Where do professional accountancy organizations fit in?

Preparing the accountancy profession for the future requires a comprehensive, integrated approach to international accountancy education. Our profession needs to ensure current and future professional accountants are equipped with the skills, capabilities, and ethical behavior required for a rapidly changing environment. On December 19, IFAC will host a one-hour webinar on a future model for advancing international accountancy education in the public interest. The webinar will preview planning to date and provide an outline of the model prior to approval and implementation in 2019.

In honor of International Day of Persons with Disabilities, which will take place on December 3 2018, IFAC’s Professional Accountancy Organization Capacity Building Program will host a webinar promoting empowerment and ensuring inclusion and accommodation for persons with disabilities. Relevant experts from accountancy wil share their perspectives and highlight their organizations’ practices.

Emerging technologies and digitalization are reshaping business models and finance and accounting practices. TAG’s goal is to provide high-level strategic input to IFAC on emerging technology trends and issues impacting the global accountancy profession and facilitate information exchange and awareness raising.

In today’s digital age, many people have at some point wondered whether their online accounts have been compromised or have been part of a large data breach.

Like a lot of the issues that make the news on a regular basis, we can become desensitized to cyber risks, but it is imperative, especially for organizations of all sizes, to be vigilant and educate their employees and stakeholders on proper protocols and procedures for minimizing risk. Accounting professionals are in a unique position to address cybersecurity.

The International Federation of Accountants (IFAC) today submitted its response to the IFRS Foundation’s Consultation Paper on Sustainability Reporting, issuing a resounding “yes” to the question of whether an international sustainability standards board is needed to lead a coherent global system of interconnected corporate reporting that will rationalize the current fragmented ecosystem for sustainability information.

Reiterating the themes of its September 2020 call-to-action, Enhancing Corporate Reporting: The Way Forward, IFAC calls for the creation of the new board alongside the IASB under the IFRS Foundation. The proposed board would address the urgent and growing demand from investors, policy makers and regulators for a reporting system that delivers consistent, comparable, reliable, and assurable information relevant to enterprise value creation, sustainable development, and evolving stakeholder expectations.

“This is a significant opportunity to bring new relevance to professional accountants’ work in corporate reporting and assurance and will advance the public interest,” said IFAC CEO Kevin Dancey. “The accountancy profession must continue to play an active role in helping companies, economies, and societies achieve a more sustainable future, made all the more urgent due to the climate emergency. IFAC stands ready to engage with the IFRS Foundation, as well as our member organizations and other stakeholders, to ensure the success of this important initiative.”

IFAC encourages our members and other stakeholders to review our response and engage in this important conversation with the IFRS Trustees.

About IFAC
IFAC is the global organization for the accountancy profession dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. IFAC is comprised of more than 175 members and associates in more than 130 countries and jurisdictions, representing more than 3 million accountants in public practice, education, government service, industry, and commerce.