Explore the AASB’s exposure draft on quality management at the firm and engagement level
In the coming weeks, the AASB is issuing an exposure draft that proposes to adopt:
- Canadian Standard on Quality Management (CSQM) (formerly Canadian Standard on Quality Control (CSQC)) 1, Quality Management for Firms that Perform Audits or Reviews of Financial Statements, or Other Assurance or Related Services Engagements;
- new Canadian Standard on Quality Management (CSQM) 2, Engagement Quality Reviews;
- revised Canadian Auditing Standard (CAS) 220, Quality Management for an Audit of Financial Statements; and
- related conforming amendments.
The exposure draft is based on the International Auditing and Assurance Standards Board Exposure Drafts of proposed International Standard on Quality Management (ISQM) 1, new ISQM 2, International Standard on Auditing (ISA) 220, and related conforming amendments.
The revisions aim to meet the following objectives:
- encourage proactive quality management at the firm and engagement level
- improve transparency and encourage effective communication with external stakeholders
- create a scalable standard that can be tailored to the circumstances of the firm and the engagements it performs
The AASB adopts ISQMs as CSQMs and ISAs as CASs. The exposure draft for CSQM 1 proposes to adopt the same scope as ISQM 1. This would be a significant change in Canada because current CSQC 1 does not apply to related services engagements such as compilation and agreed-upon procedures engagements.
The webinar will include polling questions based on the material in the exposure draft. Have your say in the development of these standards and how they will impact your practice here in Canada.
You will learn about:
- the proposed revisions to the quality management standards at the firm level and engagement level;
- how the proposals may affect your current practice; and
- how you can provide input on the proposals.