The IAASB is working to improve its understanding of the challenges practitioners face in applying the International Standards on Auditing (ISAs) to audits of Less Complex Entities (LCEs) so it can determine what actions can be taken in response to the challenges identified. The IAASB’s Discussion Paper focuses on:
- challenges that have been identified to date relating to applying the ISAs to the audits of LCEs; and
- possible actions that could be undertaken to address the identified challenges.
The IAASB is looking for input from all stakeholders, particularly practitioners auditing LCEs.
Importance to Canadian Stakeholders
Because the AASB adopts the CASs from the ISAs, the approach the IAASB decides to take in responding to the challenges in applying the ISAs to audits of LCEs is relevant to Canada. Therefore, it is important that the AASB and Canadian stakeholders respond to the IAASB, and for the AASB to be informed of any unique Canadian circumstances.