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 [...]

Artificial Intelligence Audit Risks Mitigation Update In a communiqué of 19 September 2024, IRBA brought to the attention of registered auditors and firms some developments in artificial intelligence (AI) and the potential implications for the audit profession. The board highlighted the emergence of new and improved AI tools, which have the potential to create more realistic and convincing false evidence or fabricated working papers, and can undermine the integrity and reliability of the audit process, and the financial statements. Confidentiality is an ongoing concern. IRBA also addressed and made recommendations regarding other risks, while reiterating the [...]

Updated list of banks with banking arrangements with the LPFF Trust accounts that are kept by legal practitioners, in terms of Section 86 of the Legal Practice Act of 2014 (Act No. 28 of 2014) (LPA), must be held at a bank that has entered into a banking arrangement with the Legal Practitioners’ Fidelity Fund (LPFF), in terms of Section 63(1)(g) of the LPA. The updated list of banks that have entered into banking arrangements with the LPFF, in terms of Section 63(1)(g) of the LPA, was issued by the LPFF on 2 September 2024. The [...]

SAICA Communication – Auditor Opinions, in terms of Management Rule 26(5)(c) of the Sectional Titles Schemes Management Regulations, 2016 The SAICA communication on opinions required of the auditor, in terms of Management Rule 26(5)(c) of the Sectional Titles Schemes Management Regulations, was originally issued in 2016, and subsequently revised in September 2022. This document was further updated in August 2024 based on the guidance issued by the IAASB regarding the IFRS trademark and the correct use of terminology in audit reports when referring to the IFRS Accounting Standards. The updated SAICA communication is available on: https://www.saica.org.za/resources/89141 [...]

IESBA Q&A Update: Clarifying PIE Definition for Global Compliance The Staff of the International Ethics Standards Board for Accountants (IESBA) has released an update to its Questions and Answers (Q&As) publication, including IESBA revisions to the definitions of ‘listed entity’ and ‘public interest entity’ (PIE) in the IESBA Code of Ethics. This update includes a new Q&A (16) to address the scenario where a jurisdiction has no PIE definition, or has excluded one or more of the mandatory categories in the IESBA PIE definition. In addition, Q&A 20 has been updated. The Q&A publication is designed [...]

Now Available: IESBA Handbook 2024 Edition The International Ethics Standards Board for Accountants (IESBA) has released the 2024 Handbook of the International Code of Ethics for Professional Accountants (including International Independence Standards). This handbook replaces the 2023 edition and incorporates the following: Revisions relating to the definition of a ‘public interest entity’ and related provisions Changes to the definitions of ‘audit client’ and ‘group audit client’ in the Glossary Technology-related provisions of the Code. The back of the 2024 Handbook contains the IESBA-approved revisions to the Code addressing Tax Planning and Related Services, available on: Click [...]

LATEST UPDATE The IAASB has released the 2023-2024 edition of the Handbook of International Quality Management, Auditing, Review, Other Assurance, and Related Services Pronouncements, which includes International Standard on Auditing (ISA) 600 (Revised), Special Considerations—Audits of Group Financial Statements (Including the Work of Component Auditors). The ISA for Audits of Financial Statements of Less Complex Entities, known as the ISA for LCE, is also included, although it has not yet become effective for jurisdictions that adopt the standard. For the first time, the 2023-2024 handbook comprises four volumes to improve user [...]

Guidance on Beneficial Ownership, in Terms of Section 21b of the Financial Intelligence Centre Act The Financial Intelligence Centre (FIC) has published public compliance communication (PCC) 59, which offers accountable institutions guidance on compliance with the beneficial ownership requirements of the Financial Intelligence Centre Act, 2001 (Act 38 of 2001 [FIC Act]). PCC 59 illustrates different aspects of the concept of beneficial ownership as defined in the FIC Act, and the practical application of Section 21B of the FIC Act. Furthermore, PCC 59 is aimed at highlighting money laundering, terrorist financing and proliferation financing risks related to beneficial owners. [...]