This summary of decisions of the Auditing and Assurance Standards Board (AASB) has been prepared for information purposes only. Decisions reported are tentative and reflect only the current status of discussions on projects and other matters, which might change after further deliberations by the AASB. Decisions to publish exposure draft and Handbook material are final only after a formal voting process.
Canadian Auditing Standards (CASs)
The AASB unanimously approved amendments to the effective date of paragraph 46 of CAS 700, Forming an Opinion and Reporting on Financial Statements. As a result, the requirement for the auditor to disclose the engagement partner name does not apply for auditor’s reports dated on or after December 15, 2018, for audits of financial statements of entities whose engagement partner name appears on Form AP, Auditor Reporting of Certain Audit Participants, to be filed with the U.S. Public Company Accounting Oversight Board (PCAOB) for that engagement.
The AASB unanimously agreed that such amendments were significant but decided not to expose the amendments for comment. The Board noted that a limited number of entities are affected. It intends to address the issue on an urgent basis, so it can conclude on the scope of paragraph 46. The Board also noted that readers of the auditor’s report of entities affected by the deferral of application of paragraph 46 who wish to determine the engagement partner name for the engagement can do so by accessing Form AP on the PCAOB website.
Once the Auditing and Assurance Standards Oversight Council’s confirms that the AASB followed due process with proper regard for the public interest, the amendments are expected to be included in a March 2019 Handbook update.