IPSASB Chair Ian Carruthers is confirmed to join a global webinar with the World Bank and IFAC next Wednesday, July 22 from 8am-11am ET. 

The webinar, entitled "The Sustainability of Public Finance—Supporting Resilient Response & Recovery in the Public Sector" will focus on the importance of high-quality financial reporting in the public sector, especially during the current pandemic, and showcase currently available tools that support the transition to accrual accounting and IPSAS adoption.

For more information, and to register, please click here.

Today the IAASB released COVID-19 pandemic-related guidance on Review Engagements on Interim Financial Information. This guidance may help auditors in the current uncertain and evolving environment.

Today the IAASB released COVID-19 Pandemic-related guidance for auditors to consider when issuing an auditor's report on the completion of the audit of financial statements.

The guidance document can be found HERE.

In the IAASB’s ongoing response to COVID-19, guidance related to Going Concern and Subsequent Events have also been issued, and more information and helpful links can be found on the IAASB’s COVID-19 Webpage.

To account for COVID-19’s impact on the International Auditing and Assurance Standards Board’s (IAASB) work, its staff capacity to deliver, and the capacity of the IAASB’s stakeholders to participate in consultations and to implement new standards, the IAASB has reconsidered the timelines for its projects in 2020. The Revised Detailed Work Plan Table for 2020-2021 sets out a description of the changes that have been made and the revised timelines for 2020 and 2021 (as applicable).

“Like many others, we revised our Work Plan to respond to realities imposed by the COVID-19 pandemic,” noted Tom Seidenstein, Chair of the IAASB. “Our approach directs capacity to emerging  public interest needs and accounts for the capacity of our stakeholders, volunteer Board Members, and staff. We will also continue to monitor whether further changes are needed."

The Technology Working Group (TWG) of the International Auditing and Assurance Standards Board (IAASB) today released non-authoritative support material related to the auditor’s documentation when using automated tools and techniques (ATT), such as data analytics, robotics automation processes or artificial intelligence applications. 

The publication intends to assist auditors in understanding how the use of ATT during an audit engagement may affect the auditor’s documentation in accordance with International Standard on Auditing (ISA) 230, Audit Documentation, and the documentation requirements of other relevant ISAs.

The publication does not constitute an authoritative pronouncement of the IAASB, nor does it amend, extend or override International Standard on Quality Control (ISQC) 1 or the ISAs, the texts of which alone are authoritative. Reading the publication is not a substitute for reading ISQC 1 or the ISAs.

Click here to learn more.

Today, the International Auditing and Assurance Standards Board (IAASB) published its Strategy for 2020‒2023 (the Strategy) and Work Plan for 2020‒2021 (the Work Plan).

The strategy, developed through extensive external consultation over two years, looks to build sustained trust in financial and other reporting through high-quality audits, assurance, and related services engagements. The IAASB also recognizes the need to address the impact of technology, demands relating to changing reporting needs (including demands in relation to non-financial reporting), and changing expectations for the audit.

“The IAASB recognizes the significant challenges facing the audit profession and the standards that govern it. This Strategy and Work Plan provides an important compass for our organization to address these challenges in a highly responsive and innovative manner,” said Tom Seidenstein, Chair of the IAASB. “We will inevitably need to adapt over the strategy’s four-year period, but the emphasis on the public interest, innovation and agility, and collaboration should remain relevant.”

Consistent with governance requirements, the Public Interest Oversight Board (PIOB), the IAASB’s independent oversight body, concluded at its March 2020 meeting that the IAASB developed its Strategy and Work Plan in accordance with due process and with proper regard for the public interest.

Key IAASB Strategy and Work Plan Elements

The strategy sets three strategic objectives to focus IAASB priorities and resources during 2020‒2023:

1. Increase the emphasis on emerging issues to ensure that the IAASB International Standards provide a foundation for high-quality audit, assurance and related services engagements
2. Innovate the IAASB’s ways of working to strengthen and broaden our agility, capabilities, and capacity to do the right work at the right time
3. Maintain and deepen relationships with stakeholders to achieve globally relevant, progressive and operable standards

The Work Plan describes, at the time of the December 2019 approval, how the IAASB intends to increase its focus on emerging issues, while completing the existing work already committed to and underway. In the Work Plan, the IAASB anticipates standard-setting projects on going concern, fraud, and audit evidence, and work to address the needs of auditors of Less Complex Entities, among other topics. To support an evidence-based and structured consideration of new topics, the IAASB Work Plan highlights a new Framework for Activities, comprising several key components, to help the IAASB develop informed and targeted responses to address emerging issues and topics of global relevance.

Impact of the COVID-19 Pandemic on the Strategy and Work Plan

While the IAASB approved its strategy before the pandemic, the three strategic objectives remain relevant. The IAASB has used these strategic objectives to help prioritize its crisis response. For example, the IAASB has developed, and is continuing to develop, guidance on audit considerations in response to the pandemic. The IAASB is enhancing its interactions with national audit standard-setters, regulators, and independent audit oversight regimes.

At the same time, the IAASB recognizes that its Work Plan and timelines may need to adapt as new priorities emerge, the pandemic and associated restrictions impact our ability to work, and stakeholder capacity for change becomes constrained. In the coming weeks and months, the IAASB will consider potential impacts and consult, as appropriate, with the PIOB, the IAASB Consultative Advisory Group, and other stakeholders.

The outcome of IAASB consultations could lead to the reprioritization of topics and changes in the timing of projects and consultation efforts. The IAASB will post any changes on its Website.

The COVID-19 pandemic presents unprecedented challenges. Its immediate impact on both individual and societal wellbeing cannot be overstated.

The IPSASB has published a webpage to address the impacts of COVID-19. On this page, you will find a message from IPSASB Chair, Ian Carruthers, guidance from staff on IPSAS implications related to COVID-19, and other useful materials about maintaining strong public financial management given today's challenging circumstances. 

IPSASB Chair, Ian Carruthers, has published his reponse to the survey on IPSASB Oversight Arrangements. 

The IFAC Nominating Committee is seeking to fill seven vacancies on the International Public Sector Accounting Standards Board (IPSASB), including one for a public member. These Board Members will serve an initial term of up to 3 years, commencing January 1, 2021.

To enhance diversity on the Board, the Nominating Committee is particularly interested in receiving nominations of female candidates and nominations from the following regions: Asia, Africa-Middle East, and Latin America-Caribbean.

Candidates will ideally have a public sector background, a strong interest in technical accounting issues and/or experience in standard setting to be able to contribute value to the work of the Board. English proficiency is essential, as this is the language in which the IPSASB operates.

Nominations from a wide range of relevant backgrounds are sought, including, but not limited to, candidates from:

• Preparers of accrual-based financial statements, such those reporting directly or indirectly in accordance with IPSAS or being in the process of transitioning to IPSAS or another accrual-based accounting framework.
• Ministries of Finance and Treasury departments.
• International and regional development organizations.
• Public sector external auditors.
• Users of general purpose financial reports, such as parliamentarians, budget offices, and credit-rating agencies.

All stakeholders, including the general public, IFAC member organizations, and the Forum of Firms are invited to nominate candidates.

The IPSASB is an independent standard-setting body that serves the public interest by setting high-quality accounting standards for use by public sector entities around the world in the preparation of general purpose financial reports.

Deadline for submitting applications is January 31, 2020. Please see the Call for Nominations for more details and information on how to submit an application.

The International Integrated Reporting Council's meeting, hosted today by IFAC, comes at a seminal moment for corporate reporting. To be accountable to their stakeholders, organizations need to provide a clear and concise picture of their ability to create sustainable value over time. At the same time, rapid change and disruption, driven by climate change and technology, are forcing businesses to reconsider their approach to value creation and reporting.

Over the past decade, the corporate reporting landscape has become a mosaic of mandatory and voluntary disclosures under various standards and frameworks. The result is complexity and reporting that fails to meet the needs of investors and other stakeholders. Convergence towards relevant, reliable, and comparable narrative information and metrics is desperately needed.

Integrated reporting meets today’s expectations for corporate accountability and transparency. IFAC’s partnership with the International Integrated Reporting Council aims to support organizations in developing reporting and thinking that properly considers long-term opportunities and risks.

To address the future of reporting, and the role accountants must play in it, IFAC has published its Point of View on enhancing corporate reporting. Also published on the Gateway is an article from IFAC CEO Kevin Dancey and IIRC Interim CEO Charles Tilley that highlights the evolving role of CFOs and finance teams in accounting for value creation. IFAC is determined to support this evolution through an integrated value creation agenda.

Accountants have a key role to play in this future and must work to drive corporate reporting that meets the demands of the present and the future. This is an enormous opportunity that the profession must seize now.