The International Auditing and Assurance Standards Board (IAASB) has released its revised International Standards on Auditing to provide more focus on financial statement disclosures.
The revised standard, Addressing Disclosures in the Audit of Financial Statements, aim to focus auditors more explicitly on disclosures throughout the audit process and drive consistency in auditor behaviour in applying the requirements of the International Standards on Auditing.
IAASB staff has also developed a companion publication for auditors that describes financial reporting disclosure trends and their possible implications from an audit perspective.
The publication is intended to provide more consistent application of the standards when addressing disclosures as part of an audit of financial statements, and may be particularly relevant to small and medium practices.
The revisions to the standards encompass changes to 10 ISAs and conforming amendments to five other ISAs. They will be effective for audits of financial statements for periods ending on or after Dec. 15, 2016.
Read more here.