The Impact of POPIA

2021-09-21T22:12:27+02:00

The Impact of  POPIA The Protection of Personal Information Act, 2013 (Act No. 4 of 2013), otherwise known as POPIA, came into effect on 1 July 2020. Responsible parties were granted a grace period of 12 months to ensure compliance with POPIA by 30 June 2021. This means that responsible parties must be able to prove compliance from 1 July 2021. The Information Regulator of South Africa may not yet be fully geared for monitoring compliance on a regular basis, but the regulator will investigate, if any claims are lodged against responsible parties. The consequences for non-compliance are significant. [...]

The Impact of POPIA2021-09-21T22:12:27+02:00

Audit of legal practitioners’ business accounts

2021-09-19T17:15:37+02:00

Newsletter June Audit of legal practitioners’ business accounts Audit requirements relating to the business financial statements of legal practitioners practicing in companies have been clarified. In October 2019, the Companies and Intellectual Property Commission (CIPC) issued a notice of the withdrawal of the non-binding opinion pertaining to Regulation 28(2)(a) of the Companies Regulations 2011 to the Companies Act 2008. This opinion applied to legal practitioners who are registered as companies, in terms of the Companies Act, and considered whether the holding of assets in the legal practitioners’ trust accounts is regarded as part of the ordinary [...]

Audit of legal practitioners’ business accounts2021-09-19T17:15:37+02:00

Auditing of Compliance with Financial Reporting Frameworks – The Presentation Assertion

2021-02-22T13:59:41+02:00

Auditing of Compliance with Financial Reporting Frameworks – the Presentation Assertion Audit regulators are reporting that financial statement disclosure deficiencies have increased substantially over the past few years. It is crucial for auditors to realise that they need to have a sound understanding of the financial reporting framework applied by the entity and perform thorough audit procedures to determine whether the financial reporting framework has been correctly applied. This does not merely require the completion of a disclosure checklist, but also the verification of recognition and measurement, in terms of the financial reporting framework and reporting responsibilities placed [...]

Auditing of Compliance with Financial Reporting Frameworks – The Presentation Assertion2021-02-22T13:59:41+02:00

Risk and Sample Sizes

2021-09-19T17:36:19+02:00

Risk and Sample Sizes The whole focus of an audit hinges on the risk of material misstatement, and the limited resources and time to detect any misstatement. Therefore, the risk of misstatement is assessed, and limited testing performed based on the risk assessed and the measure of accuracy of the results of the tests desired. ISA315 (and its revision) steers clear of explaining the practicalities of applying risk assessment to sample sizes and the audit approach. In this article, we attempt to address this gap. [...]

Risk and Sample Sizes2021-09-19T17:36:19+02:00

The new face of quality management

2021-02-26T10:50:04+02:00

The new face of quality management There has been significant activity in the quality management arena over the past few years, culminating in the approval of the set of new quality management standards at the September 2020 IAASB meeting. Subject to final approval by the Public Interest Oversight Board later this year, it is anticipated that the standards will be issued by the end of the year and that the profession will have 24 months to implement the changes introduced with these new standards. [...]

The new face of quality management2021-02-26T10:50:04+02:00

Electronic Signatures

2021-09-19T17:36:32+02:00

Electronic Signatures In the audit profession, signatures are used for a variety of reasons, including for representations from clients, signing off working papers, and signing the audit- and other reports. With the onset of COVID-19 and the ‘new normal’ of auditors working remotely from users of their documents, electronic signatures have emerged as an important issue to ensure that the form of signature is appropriate for the purpose used. Key requirements The IRBA has issued a request for comments on a proposed explanatory memorandum. The considerations it presents, as well [...]

Electronic Signatures2021-09-19T17:36:32+02:00

Internal Control – We revisit the concepts

2021-09-19T17:36:44+02:00

Internal Control – We revisit the concepts When thinking about internal control, and its relationship to risk assessment and the ISA 315 standard, we consider it equal to a first-year university auditing subject, and not really an area of concern when it comes to compliance and regulation, since most small-to-medium sized firms insist on following a substantive approach in auditing and do not give internal control as a risk assessment tool the required attention. Important definitions and concepts The definitions of the concepts and [...]

Internal Control – We revisit the concepts2021-09-19T17:36:44+02:00

Transactions that are not at arm’s length

2021-09-19T17:36:53+02:00

Transactions that are not at arm’s length Due to the prevalence of fraud over the past few years, the IRBA issued a staff audit practice alert in June 2020 to provide auditors with guidance and considerations, with respect to transactions that are not at arm’s length, and the possible audit responses to the resulting audit risks. This article provides a summary of the key aspects addressed in the IRBA staff audit practice alert and encapsulates the message in simpler terms. Please remember to also [...]

Transactions that are not at arm’s length2021-09-19T17:36:53+02:00

Fraud – IRBA Staff Audit Practice Alert 4

2021-02-26T10:50:33+02:00

Fraud - IRBA Staff Audit Practice Alert 4 The IRBA issued a staff audit practice alert in June 2020 to provide auditors with implementation guidance in responding to the risks of material misstatements due to fraud and/or non-compliance with laws and regulations. As is normally the case, this publication is quite lengthy and written in a format which makes it difficult for a practitioner to read and analyse in one sitting.This is a shorter interpretation of the alert to reduce the volume thereof and to highlight [...]

Fraud – IRBA Staff Audit Practice Alert 42021-02-26T10:50:33+02:00

Newsflash: IFAC Practice transformation action plan

2020-06-22T16:58:02+02:00

Newsflash: IFAC Practice transformation action plan Welcome to the Fast-Future We will not recognise the accountancy profession in the next 10 years. Actually, the fact of the matter is that it will probably be in the next five years. —Barry Melancon, President & CEO, American Institute of CPAs and CEO, Association of International Certified Professional Accountants We live in a dynamic, fast-paced world. Accenture predicted that advances in robotics would automate, or eliminate 40% of basic accounting roles by 2020. Within 10 years, robots [...]

Newsflash: IFAC Practice transformation action plan2020-06-22T16:58:02+02:00

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