Revised ISA570 Issued– Going Concern Just Got a Lot More Real

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The International Auditing and Assurance Standards Board (IAASB) has officially issued the revised ISA 570 (Revised 2024), Going Concern, effective for audits of financial statements for periods beginning on or after 15 December 2026.

While this standard applies to auditors, it has major implications for accountants who prepare financial statements for entities subject to audit.

What has changes

• Mandatory going concern assessments for every audit — even if no red flags are present.

• Extended assessment period — now 12 months from the date of financial statement approval.

• Deeper auditor scrutiny of management’s assumptions, methods, and judgments.

• Enhanced reporting in the auditor’s report, especially for “close call” situations.

Impact on the work of accountants

Accountants will need to prepare formal going concern assessments, robust cash flow forecasts, and transparent disclosures — even in stable environments. Your documentation and judgment will form the foundation for audit conclusions.

📌It is time to start getting familiar with the changes now to ensure a smooth audit process later.

Need help preparing? Check out our practical step-by-step guide coming soon on Accounting Weekly.