LATEST UPDATE IRBA Issues Its First Reportable Irregularities Report The Reportable Irregularities (RI) process, as outlined in the Auditing Profession Act, as amended, is designed to empower registered auditors to challenge management and boards on irregularities uncovered during an independent audit of financial statements, and ensure effective governance. As such, this Independent Regulatory Board Auditors’ (IRBA) first-ever publication of the RI 2022/2023 aims to not only embolden registered auditors, but to provide stakeholders with comprehensive feedback on the nature of RIs reported over a specific period, and the measures taken to address [...]

LATEST UPDATE Frequently Asked Questions (FAQ) on IFRS for SMEs Published SAICA issued an FAQ, Applicability of IFRS Accounting Standards, to entities applying the IFRS for SMEs Accounting Standard, in October 2024. This FAQ clarifies the applicability of new IFRS Accounting Standards, amendments to IFRS Accounting Standards and IFRIC agenda decisions, when issued for entities preparing financial statements, in terms of the IFRS for SMEs Accounting Standard. This FAQ replaces FAQ - Applicability of IFRS 9 – Financial Instruments, IFRS 15 – Revenue from Contracts with Customers and IFRS 16 – Leases [...]

LATEST UPDATE IRBA Code of Professional Conduct for Registered Auditors (Revised November 2024) The IRBA Code of Professional Conduct for Registered Auditors (Revised November 2024) (the IRBA Code) has been published, and may be downloaded from the IRBA website on: https://www.irba.co.za/upload/51_%20IRBA%20Code%202024.pdf It includes only previously gazetted amendments and revisions, with no changes to their effective dates. This IRBA Code should be used along with subsequent amendments available on the IRBA website. The effective dates of various provisions are communicated through the Board Notice. Refer to the IRBA website for the most recent [...]

LATEST UPDATE CIPC Guidelines for Electronic AGM The Companies and Intellectual Property Commission (CIPC) has released Guideline 1 of 2024 to assist companies with conducting the Annual General Meeting (AGM) electronically. This guideline ensures that companies simplify the process of holding an AGM, and that shareholders can participate effectively. The guideline is available on: https://www.cipc.co.za/?p=21771 more

LATEST UPDATE Finalised Disciplinary and Investigation Matters In the latest issue of IRBA News, Issue 67, five finalised disciplinary matters and 19 finalised investigation matters were reported. In one disciplinary matter, appropriate procedures were not performed to obtain sufficient appropriate audit evidence to test compliance for an attorney trust account; the attorney’s non-compliance was not reported as required; and professional scepticism was not exercised throughout the audit. In another matter, for example, adequate procedures were not performed regarding independence, materiality, planning and risk assessment; an independent review engagement was not performed, in [...]

LATEST UPDATE IFRS Foundation agenda decisions volume 11 published The IFRS Foundation has published its 11th Compilation of Agenda Decisions by the IFRS Interpretations Committee (Committee), covering the period of May 2024 to October 2024. The Compilation includes the agenda decision, Disclosure of Revenues and Expenses for Reportable Segments, which relates to IFRS 8 Operating Segments. Viewing agenda decisions By date: the page, Click Here organises each agenda decision by publication date. The page also includes previous agenda decision compilations. By topic: the section, Click Here organises agenda decisions by IFRS Accounting [...]

An Alert on the Latest Publications from the Legal Practitioners Fidelity Fund The Legal Practitioners Fidelity Fund (LPFF) recently published the latest version of the communications listed below, applicable to legal practitioner trust accounts. Auditors are advised to refer to the latest publications when performing reasonable assurance engagements on legal practitioner trust accounts. Updated list of banks that have entered into banking arrangements with the LPFF Section 86(2) and (3) – Manual trust interest payments Payment of unclaimed and unknown trust monies, in terms of Section 87(4) of the LPA Payment of trust interest accrued on [...]

LATEST UPDATE IFAC Releases Third Instalment in Implementation Support Series The International Federation of Accountants (IFAC) recently released the third and final instalment in its three-part publication series to help small and medium-sized practices (SMPs) implement the International Auditing and Assurance Standards Board’s (IAASB’s) suite of quality management standards. Instalment Three: Monitoring and Remediation provides tips and guidance on the practical implementation of the monitoring and remediation of a firm’s system of quality management. Instalment Three includes multiple documentation aids covering annual monitoring and evaluation of the system of quality management, cyclical [...]

In the latest issue of IRBA News, Issue 65, seven finalised disciplinary matters and 16 finalised investigation matters were reported. In four disciplinary matters, appropriate levels of professional scepticism weren’t applied, with respect to client continuance decisions, indicating failures relating to the firm’s risk management and quality procedures. Two matters related to sufficient appropriate audit evidence not having been obtained for material balances and related disclosures. One matter related to non-disclosure of a loan with VBS, which was not on ordinary lending terms and conditions, thereby compromising KPMG’s independence and bringing the profession into disrepute. In several investigation matters, [...]