Updates to IRBA Pronouncements Arising from Narrow-Scope Amendments to IAS 1 – SAAPS 3 and other Illustrative Reports

The Independent Regulatory Board for Auditors (IRBA) previously published a communiqué on guidance issued by the International Auditing and Assurance Standards Board (IAASB) on narrow-scope amendments to International Accounting Standard (IAS) 1, Presentation of Financial Statements.

The narrow-scope amendments to IAS 1 require preparers that use the International Financial Reporting Standards (IFRS) to disclose their ‘material accounting policy information’, instead of ‘a summary of significant accounting policies’. These changes to IAS 1 became effective for annual reporting periods beginning on or after 1 January 2023.

Subsequently, three IRBA pronouncements that contain illustrative auditor’s reports have been updated. They are:

South African Auditing Practice Statement (SAAPS) 3 (Revised May 2019), Illustrative Reports, available on:

https://www.irba.co.za/guidance-to-ras/technical-guidance-for-auditors/auditing-standards-and-guides/south-african-standards-and-practice-statements

Revised Guide for Registered Auditors (Revised November 2018), Assurance Engagements on the Annual Financial Statements and Annual Statutory Returns of a Medical Scheme, available on:

https://www.irba.co.za/guidance-to-ras/technical-guidance-for-auditors/industry-specific-guides-and-regulatory-reports/medical-schemes-engagements

Auditor’s report template: Audit of the Financial Statements of a Large Retirement Fund (Schedule D), available on:

https://www.irba.co.za/guidance-to-ras/industry-specific-guides-and-regulatory-reports/retirement-fund-reports

The updated IRBA pronouncements are effective for audits and reviews of financial statements ending on or after 31 December 2023, with early adoption permitted.

For any further enquiries, please email standards@irba.co.za