Frequently Asked Questions on Investigating Exceptions and Relevance of Performance Materiality When Using Automated Tools and Techniques
This Frequently Asked Questions (FAQ) helps address investigating exceptions and the concept of performance materiality when performing audit procedures using automated tools & techniques (ATT). While not unique to ATT, questions on these topics have become more prevalent with the increasing use of ATT, which enable analyzing data sets with large volumes of information.
The publication does not amend or override the International Standards on Auditing (ISAs), the texts of which alone are authoritative. Reading the publication is not a substitute for reading the ISAs.
The International Ethics Standards Board for Accountants (IESBA) recently held three global webinars on the upcoming Tax Planning and Related Services exposure draft (ED). The ED was released on February 17, and comments are requested by May 18.
During the webinars, members of the Tax Planning and Related Services Task Force explained the key proposals in the ED, among other matters, including:
Compliance with the fundamental principles, highlighting the types of threats that might be created when providing tax planning activities.
Understanding the applicable tax laws and regulations, the legislative intent behind the relevant laws and regulations, and the economic purpose and substance of the transaction.
Exercising professional judgment to establish a credible basis for the tax planning arrangement in circumstances of uncertainty. This includes a consideration of the reputational, commercial, and wider economic consequences arising from the way stakeholders might view the arrangement.
Communicating relevant matters or concerns with the individual client, management, or those charged with governance, including as part of an escalation process where necessary.
Developing an appropriate level of documentation throughout the process to substantiate the judgments, decisions, and actions.
Watch the recordings now and learn more about these important proposals.
Monday, February 27 | 10 am – 11 am EST | Click here, led by Jens Poll
Tuesday, February 28 | 4 pm – 5 pm EST | Click here, led by Andrew Mintzer
Tuesday, February 28 | 9 pm – 10 pm EST | Click here, led by Channa Wijesinghe
Professional accountants in business comprise a significant part of the profession working in commerce, industry, financial services, education, and the public and not-for-profit sectors. Formed in 1977, the PAIB Advisory Group’s focus is to ensure these accountants meet the future needs of business and the public sector.
The newest PAIB Advisory Group members are:
Esther Bosch, Head of Internal Audit & Risk, Stahl Holdings (Netherlands)
Lindawati Gani, Professor in Management Accounting, Faculty of Economics and Business, Universitas Indonesia (Indonesia)
"Each member brings a unique, valuable perspective of the different roles professional accountants perform in business and finance leadership to the profession and its key stakeholders,” said Sanjay Rughani, Chair, IFAC PAIB Advisory Group. “We are honored to have these new members join us to share their diverse experiences and provide strategic input on opportunities for professional accountants to create value in their roles across the globe.”
The continuing PAIB Advisory Group members are:
Sanjay Rughani, Chair, CEO, Standard Chartered Bank Uganda (Uganda)
Nancy Sau Ling Tse, JP, Deputy Chair, Independent Non-Executive Director [Hong Kong (Special Administrative Region of China)]
Zia-Ul-Mustafa Awan, CFO and Business Administrator, Pakistan Expo Centres Private Limited (Pakistan)
Gregory Bedard, Chief of Staff, Prudential Financial (United States)
Anastasija Boljević, Secretary General, Institute of Certified Accountants of Montenegro (Republic of Montenegro)
Ibrahim (Murat) Çağlar, Chief Financial Officer,Sanovel (Turkey)
Sharon Ditchburn, Managing Director/Founder, Capital Advantage Consultants (Australia)
Eric Freudenreich, Independent Non-Executive Director (France)
Tim Herrod, FCPA, FCA, Vice President, Global Procurement, Albemarle Corporation (Canada)
Nihar Jambusaria, Past President, The Institute of Chartered Accountants of India (India)
Catherine Little, Non-Executive Director, Head of the Government Finance Function, and Second Permanent Secretary, HM Treasury (United Kingdom)
Margaret Muinde, Financial Controller, Kenya Roads Board (Kenya)
Stephen L. Muscat, Chief Financial Officer & Company Secretary, Liquigas Malta Limited (Malta)
Esteban Quiros, Director of Global Business Services, Procter and Gamble (Costa Rica)
Milton Segal, Executive Director: Standards, South African Institute of Chartered Accountants (South Africa)
Ichiro Waki, Group CEO, JBA Group (Japan)
Gloria Zvaravanhu, Managing Director, Old Mutual Insurance Company (Zimbabwe)
Member expertise is drawn upon to deliver timely reports, articles, and case studies relevant to professional accountants in business across the globe. Explore their latest insights.
About IFAC IFAC is the global organization for the accountancy profession dedicated to serving the public interest by strengthening the profession and contributing to the development of strong international economies. IFAC is comprised of 180 members and associates in 135 countries and jurisdictions, representing more than 3 million accountants in public practice, education, government service, industry, and commerce.
About the Professional Accountants in Business (PAIB) Advisory Group
Professional accountants in business comprise a significant part of the profession working in commerce, industry, financial services, education, and the public and not-for-profit sectors. The Professional Accountants in Business (PAIB) Advisory Group focuses on ensuring these accountants meet the future needs of business and the public sector.
The Association of Chartered Certified Accountants (ACCA) and the International Federation of Accountants (IFAC) study of public trust in tax was rolled out across 14 countries, surveying 5,900 people – many in developing economies, and published in September.
A new tax survey of 5,900 people in14 countries across the globe –with majority of the participants in developing countries, including Nigeria and Kenya, revealed that; trust in tax systems is lower when taxpayers perceive higher levels of corruption and diversion of public funds.
Taxpayers’ attitudes about paying taxes correlate closely with perceived levels of corruption, according to a major new study, Public Trust in Tax, by accountancy bodies ACCA and the International Federation of Accountants (IFAC).
ISLAMABAD-Taxpayers’ attitudes about paying taxes correlate closely with perceived levels of corruption, according to a major new study, Public Trust in Tax, by accountancy bodies ACCA and the International Federation of Accountants (IFAC). A global survey focusing on 14 developing economies...
