On behalf of the IAASB, Happy New Year to all. The IAASB closed out a productive 2024 by approving ISA 570 (Revised), Going Concern closely following the September 2024 approval of ISSA 5000, General Requirements for Sustainability Assurance Engagements. It is natural for our stakeholders to want to know what the IAASB plans to do in 2025. Our strategy document, Elevating Trust in Audit and Assurance, provides clear guidance.

For 2025, from a standard-setting standpoint, we are translating the strategy into three leading tasks:

  1. Finish what we have started.
  2. Give the market time and support to ensure high-quality implementation.
  3. Increase our focus on technology to enhance audit and assurance quality.

Finish what we have started. By the end of the first half of 2025, the IAASB will complete its projects on Fraud and the second phase of our IESBA convergence work on Listed and Public Interest Entities. The IAASB intends to approve revisions to the Fraud standard in March and will undertake a consultation and outreach on Listed and Public Entities in Q1 to permit June 2025 approval. With the finalization of these projects, an important phase of our 2024-2027 work plan ends.

Give the market time and support to ensure high-quality implementation. In recent years, IAASB major initiatives included ISA 315 (Revised 2019), the quality management suite of standards (ISQMs 1 and 2, and ISA 220 (Revised), group audits (ISA 600 (Revised), the ISA for Audits of Financial Statements of Less Complex Entities, ISSA 5000, and going concern (ISA 570 (Revised 2024). With the addition of the standards we anticipate finalizing in the first half of 2025, our focus will turn to supporting implementation of these standards, allowing time for their effective adoption, and beginning to assess their effectiveness through post-implementation reviews. For example, jointly with IESBA, we will be launching comprehensive implementation support plans for our sustainability standards at the end of January.

Increase our focus on technology to enhance audit and assurance quality. As our work plan transitions, there will necessarily be a period of calm in terms of new standards coming into effect.  However, we will not slow our work on key public interest topics. In September, the IAASB approved a new Technology Position and “committed to actively facilitating and, where appropriate, encouraging the appropriate use of technology.” While technology is not the sole driver, a dedicated focus on technology will be a priority over the next three years. Our recent project proposal to revise our Audit Evidence and Risk Response standards, scheduled to be completed in early 2027, highlights this commitment. We will be updating our project timelines shortly to reflect the technology priority.

The IAASB has emphasized the value of stakeholder engagement and has deepened outreach over recent years. As we pursue the three actions above, expect this level of outreach to continue.

Tom Seidenstein

Chair*, IAASB and Co-CEO, International Foundation for Ethics and Audit

Tom Seidenstein is the chair of the International Auditing and Assurance Standards Board and the co-CEO of the International Foundation for Ethics and Audit, the recently created organization that houses the IAASB and the International Ethics Standards Board for Accountants (IESBA). Since the beginning of 2023, he has served as co-CEO with IESBA Chair Gabriela Figueiredo Dias.

Mr. Seidenstein was initially appointed chair in July 2019 and reappointed to a three-year term in June 2022. In this role, and now as co-CEO, he has overseen significant revisions of existing audit standards aimed at enhancing public trust, the initiation of a new workstream aimed at creating a global assurance standard for sustainability, and an updated strategy aimed at increasing the responsiveness of standard setting.

Mr. Seidenstein’s career has spanned both the private sector and international standard setting. Prior to joining the IAASB, Mr. Seidenstein held senior strategic leadership positions at the Federal National Mortgage Association, commonly known as Fannie Mae (Senior Vice President, Strategy, Innovation & Capital Management: 2012-19), and the IFRS Foundation (Chief Operating Officer: 2000-2011).

Additionally, Mr. Seidenstein has served at a consulting organization for not-for-profits, CCS Fundraising (Executive Director: 1999-2000), and the Center for Strategic and International Studies (Special Assistant to the Managing Director: 1995-1997). He has also served as a Trustee of the International Valuation Standards Council (IVSC) and on XBRL International’s Board of Advisors.

A strong believer in volunteer service, Mr. Seidenstein has held or holds volunteer leadership positions serving school education the USA and the Make-A-Wish Foundation (both UK and international boards). He holds a Master’s in Public Policy from the Kennedy School of Government at Harvard University and an undergraduate degree (cum laude) from the Princeton School of Public and International Affairs at Princeton University.

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