In this eNews you will find:

• Highlights from our September meeting
• Release of the 2025 handbook
• Plans for Q4 2025
• Coordination with IESBA
• Key dates for this quarter

Highlights from Our September Meeting

During our September 2025 meeting, we approved narrow-scope amendments to our standards arising from the IESBA’s Using the Work of an External Expert Project.
Other topics we discussed during our meeting include:

• ISRE 2410 (Revised), Review of Interim Financial Information Performed by the Independent Auditor of the Entity (Project Stage: Exposure Draft Development) – We discussed selected sections of the standard, including proposed drafting and initial direction on the nature and extent of the auditor’s work effort relating to going concern and considerations relating to group interim review engagements.
• Audit Evidence and Risk Response (Project Stage: Exposure Draft Development) – We discussed key insights from outreach activities undertaken by the project team. We also discussed several specific topics, including technology-related matters and the auditor’s work on internal controls.
• ISA 540 (Revised), Auditing Accounting Estimates and Related Disclosures Post Implementation Review – We discussed the project team’s plan for a post-implementation review of our standard on accounting estimates and key findings from the team’s initial information gathering.
• Technology – We discussed updates to the Catalog of Issues and Possible Actions and progress on the Technology Quality Management initiative, including information gathering through a series of eight international roundtables (see Looking Ahead section below).

Recordings of the September 2025 meeting are available on our YouTube channel and more information on our projects can be found on the Latest on Our Projects web page.

2025 Handbook

On September 17, we released our 2025 Edition of the Handbook of International Quality Management, Auditing, Review, Other Assurance, and Related Services Pronouncements. It is available as a PDF download; print copies can be ordered via our website.

Looking Ahead: Our Plans for Q4 2025

Technology Quality Management 
As part of our Technology Quality Management initiative, we have begun a series of eight roundtables around the world to gather stakeholder insights on:

• How emerging technologies, including AI, are being integrated into practice.
• How our quality management standards are being applied in a rapidly evolving environment.
• How firms are approaching governance and oversight of emerging technologies used in engagements.

The first roundtable was held in Brussels on September 30 with others to follow in October and November.

ISSA 5000 on Sustainability Assurance
In Q4, we will continue to support the adoption and implementation of ISSA 5000, our sustainability assurance standard. This includes:

• Webinar series: We are hosting a three-part global webinar series designed to assist our stakeholders as they adopt and implement ISSA 5000. The webinars will be held in October and will cover:
  • Foundational Principles and Concepts (October 1 and 2);
  • Engagement Planning, Risk Assessment & Response (October 7 and 8); and
  • Concluding and Reporting on Sustainability Assurance Engagements (October 14 and 15).

Register here or watch the recordings here at our ISSA 5000 web page;

• FAQ on materiality; and
• Updating information on jurisdictional adoption.

Access published resources on the dedicated ISSA 5000 web page.

Coordination with IESBA

Although IAASB and IESBA are independent boards under IFEA, with their own remits and unique needs, our standard-setting actions have a collective impact on the external reporting ecosystem. Given this collective impact, we continuously maintain and enhance our coordination with IESBA—in the traditional areas of audits and reviews of financial statements, as well as the area of sustainability. This includes coordination at the board and staff levels.

Currently, we are closely coordinating with IESBA on the following projects:

• Strategy and Work Plan: We will launch a joint stakeholder survey in early 2026 as a first step in an aligned strategic planning process for developing the Boards’ strategies and work plans for 2028–2031.
• IESBA’s Firm Culture and Governance project: We are working closely to make sure this project is aligned with our standard on quality management at the firm level (ISQM 1). For example, during our June and September meetings, IESBA staff joined us to share updates on progress and receive feedback from IAASB members.

Key Dates for this Quarter

• On October 21 and 22 the Stakeholder Advisory Council (SAC) will meet in New York. You can find more information on the SAC meetings web page. This meeting will also livestream in our YouTube channel. 
• On November 4, we will hold a joint Jurisdictional Standard Setters Meeting with IESBA.

In this eNews you will find:

• Highlights from our December meeting
• Our focus on technology
• Our plans for Q1 2026
• Key dates for this quarter

Highlights from Our December Meeting

During our December 2025 meeting, the IAASB and IESBA approved a joint stakeholder survey to inform the development of the IAASB and IESBA’s respective Strategies and Work Plans for 2028–2031. In addition, we approved (i) the IAASB Approach Statement for maintaining the ISA for LCE, (ii) the first maintenance project proposal for the ISA for LCE and (iii) the ISA 540 (Revised) post-implementation review survey.

Other topics we discussed during our meeting included:

• Audit Evidence and Risk Response (Project Stage: Exposure Draft Development) – We discussed several specific topics to inform the drafting of proposed ISA 330 (Revised), ISA 500 (Revised) and ISA 520 (Revised). At our March 2026 meeting we will discuss a first full draft of these standards.
• ISRE 2410 (Revised), Review of Interim Financial Information Performed by the Independent Auditor of the Entity (Project Stage: Exposure Draft Development) – We discussed a full draft of proposed ISRE 2410 (Revised) and we anticipate voting to approve the exposure draft at our March 2026 meeting.
• ISA 500 Series (Project Stage: Project Proposal) – We discussed key insights from outreach and the draft project proposal, including the in-scope standards for this project.
• Technology Quality Management – We discussed key insights from a six-month information-gathering phase, including finding from eight roundtables held around the world, which informed the decision to develop non-authoritative materials as the way forward for this project. At our March 2026 meeting, we will consider a proposed action plan, including the initiative’s objective, scope, themes/topics to be addressed, and the nature, scope, and timing of anticipated deliverables.

Recordings of the December 2025 meeting are available on our YouTube channel and more information on our projects can be found on the Latest on Our Projects web page.

Our Focus on Technology

In light of the changing environment and the increased use of emerging technologies by firms and entities, we developed our Technology Position in 2024. The Technology Position details how we consider the impact of technology in standard setting and other related activities, and recognizes the transformative potential of technology in enhancing audit and assurance quality. It also clarifies our commitment to actively facilitate and, where appropriate, encourage the appropriate use of technology in engagements and systems of quality management. As part of this initiative, we developed a gap analysis to identify our potential actions, including possible standard setting opportunities. The findings of this analysis are captured in the Catalog of Issues and Possible Actions, which will continue to be reviewed and updated as needed.

Currently, we have three projects focused on technology:

• Technology Quality Management – This project aims to support consistent and effective application of the quality management standards to emerging technologies.
• Audit Evidence and Risk Response – Among other matters, this project aims to facilitate, and where appropriate, encourage auditors' use of technology in obtaining audit evidence and evaluating its sufficiency and appropriateness.
• ISA 500 Series – This project aims to modernize our standards related to inventory and external confirmations to reflect the current business and audit environment, including the impact of technology use by entities, auditors and the organizations they interact with.

Looking Ahead: Our Plans for Q1 2026

Consultations

In Q1 2026 we plan to publish the following consultations:

• The joint IAASB-IESBA stakeholder strategy survey will be published mid-January with a 114-day comment period.
• A survey for the post-implementation review of ISA 540 (Revised), our standard on auditing accounting estimates, will be issued in mid-February for a 118-day comment period. The survey will gather feedback on the impact of ISA 540 (Revised).

ISSA 5000 on Sustainability Assurance

We will continue to support the adoption and implementation of ISSA 5000, our sustainability assurance standard. This includes an FAQ on materiality and updating information on jurisdictional adoption. Access published resources on the dedicated ISSA 5000 web page.

Key Dates for this Quarter

From March 16 to 19, the IAASB will meet in New York. The meeting agenda and meeting papers will be available on the IAASB website in the Meetings section in February. This meeting will also livestream on our YouTube channel.

Ms. Akiko has been the Technical Director of the Japanese Institute of Certified Public Accountants (JICPA) since 2024. She previously worked for Deloitte Touche Tohmatsu in Japan.

The International Auditing and Assurance Standards Board (IAASB) has developed an approach for maintaining its auditing standard for smaller and less complex entities, known as the International Standard on Auditing for Audits of Financial Statements of Less Complex Entities (the ISA for LCE).

The approach is detailed in an Approach Statement that promotes transparency and execution consistency. It establishes a mechanism for updating the ISA for LCE that emphasizes that revisions to the ISA for LCE should be:

• Relevant in the context of the typical nature and circumstances of an audit of a less complex entity; and
• Aligned, in a proportionate manner, with the core requirements and concepts of the International Standards on Auditing.

The Approach Statement sets out the context, purpose, process, responsibilities, outputs, and timing for maintaining the ISA for LCE. It also describes the steps the IAASB will follow when developing revisions to the ISA for LCE in response to new or revised auditing standards.

To learn more about the maintenance of the ISA for LCE, visit www.iaasb.org/ISAforLCE.

About the IAASB
The International Auditing and Assurance Standards Board develops auditing, assurance, related services, and quality management standards and guidance in the public interest that support consistent performance of quality engagements. Along with the International Ethics Standards Board for Accountants, the IAASB is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board oversees IAASB and IESBA activities and the public interest responsiveness of the standards. For copyright, trademark, and permissions information, please visit Permissions.

Dan has served as a consultant to the IAASB since 2016, working with the technical staff on various projects and activities. He currently is involved with the revision of ISRE 2410 and the post-implementation review of ISA 540 (Revised). Past projects included auditor reporting, accounting estimates, group audits and serving as the co-lead on sustainability assurance.

Dan has been actively involved in the development of auditing and assurance standards in the United States and globally since 2001. He was a member of the IAASB from 2009-2014, including serving as Deputy Chair from 2012-2014. He was a partner at Ernst & Young prior to his retirement in December 2014 following a 40-year career with the firm. He was the firm’s Global Director of Assurance Standards, Methodology and Implementation from 2009-2012, having previously served in a similar capacity in the Americas. Dan also has many years of experience in auditing listed and private companies in the manufacturing, consumer products, and financial services sectors, as well as entrepreneurial and venture-capital-backed businesses in the software and medical technology sectors.

Dan is a member of the AICPA and also served on the AICPA’s Auditing Standards Board from 2004-2006 and from 2016-2018. He has a B.S. degree in accounting from Saint John’s University in Minnesota and resides in Fort Myers, Florida.

James Ferris joined the IAASB in January 2026. He is current Director for Audit Policy at the UK Financial Reporting Council. Mr. Ferris was also Chair of the International Forum of Independent Audit Regulators (IFIAR) Standards Coordination Working Group until December 2025.

Prior to joining the FRC in 2015, Mr. Ferris was a Financial Audit Director at the UK’s National Audit Office.

Mr. Ferris is a qualified Chartered Accountant.

The International Auditing and Assurance Standards Board (IAASB) has published narrow-scope amendments to its standards arising from the International Ethics Standards Board for Accountants’ (IESBA) Using the Work of an External Expert project.

These amendments respond to the IESBA’s recently approved revisions to its International Code of Ethics for Professional Accountants (including International Independence Standards), which introduced, among other provisions, explicit ethical requirements for using the work of external experts in audit, assurance, and non-assurance engagements. The IAASB’s updates reflect ongoing collaboration and coordination between the IAASB and IESBA and help to maintain interoperability between the IAASB standards and the IESBA Code.

The targeted amendments affect the following IAASB standards:

• ISA 620, Using the Work of an Auditor’s Expert
• ISRE 2400 (Revised), Engagements to Review Historical Financial Statements
• ISAE 3000 (Revised), Assurance Engagements Other than Audits or Reviews of Historical Financial Information
• ISRS 4400 (Revised), Agreed-upon Procedures Engagements

To learn more and access the amendments and Basis for Conclusions, visit the IAASB website.

About the IAASB
The International Auditing and Assurance Standards Board develops auditing, assurance, related services, and quality management standards and guidance in the public interest that support consistent performance of quality engagements. Along with the International Ethics Standards Board for Accountants, the IAASB is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board oversees IAASB and IESBA activities and the public interest responsiveness of the standards. For copyright, trademark, and permissions information, please visit Permissions.

These amendments respond to the International Ethics Standards Board for Accountants’ recently approved revisions to its International Code of Ethics for Professional Accountants (including International Independence Standards), which introduced, among other provisions, explicit ethical requirements for using the work of external experts in audit, assurance, and non-assurance engagements.

In June 2025, the IAASB launched the Technology Quality Management Workstream. This Workstream aims to:

The IAASB is undertaking a maintenance project to revise the International Standard on Auditing for Audis of Financial Statements of Less Complex Entities (the ISA for LCE), as a result of the following IAASB projects: