IAASB Issues Revised Group Audits Standard
The IAASB has just released its revised standard for group audits (ISA 600 (Revised)). The revised standard becomes effective for audits of group financial statements for periods beginning on or after December 15, 2023.
The changes to ISA 600 (Revised) include a robust risk-based approach to planning and performing a group audit. The approach focuses the group auditor’s attention and work effort on identifying and assessing the risks of material misstatement of the group financial statements and designing and performing further audit procedures to respond to those assessed risks. It also recognizes that component auditors can be, and often are, involved in all phases of the group audit. The revised standard promotes a clear, proactive and scalable approach for group audits that can be applied to today’s evolving group audit structures.
A Basis for Conclusions and Factsheet are also available to provide background to the changes and a high-level overview of the revised standard. |