5 May 2022

The International Auditing and Assurance Standards Board (IAASB) recently released a non-authoritative guidance, The Fraud Lens – Interactions between ISA 240 and Other ISAs. The guidance illustrates the relationship and linkages between International Standard on Auditing (ISA) 240, The Auditor’s Responsibilities Relating to Fraud in an Audit of Financial Statements, and other ISAs when planning and performing an audit engagement, and reporting thereon.

The IAASB recently approved a project proposal to revise ISA 240 to enhance or clarify an auditor’s responsibilities on fraud in an audit of financial statements. In the interim, this non-authoritative guidance illustrates how extant ISA 240 is to be applied, in conjunction with the full suite of ISAs. As part of the project, additional non-authoritative guidance may be developed.