This Q&A publications from the staff of the International Ethics Standards Board for Accountants (IESBA) supports the adoption and implementation of the revised long association provisions Changes to the Code Addressing Long Association of Personnel with an Audit or Assurance Client, which the IESBA approved in December 2016 under the extant structure and drafting conventions of the Code(“close-off document”).
The Q&A publication is designed to highlight, illustrate, or explain aspects of the revised partner rotation regime in the extant Code, and thereby assist in their proper application.
As part of Phase 2 of the Structure of the Code project, the close-off document is currently being restructured in accordance with the new structure and drafting conventions of the Code. The restructuring will not change the substance of the revised provisions. The restructured provisions are expected to be published as part of the restructured Code by the end of Q1 2018. The Q&A publication will be updated to align with the final restructured provisions and will be re-issued around the same time as the restructured Code.
Global economic stability and transparency and the rebuilding of public trust will be greatly enhanced by a determined G20 push for stronger governance across all sectors, according to IFAC—the International Federation of Accountants. In advance of the G20 Summit 2017 in Hamburg, Germany on July 7-8, IFAC issued actionable recommendations for G20 countries that will support both the global economy and the G20’s 2017 objectives.
“Rebuilding trust in the global economy and financial systems is critical to inspiring the confidence the world needs for sustained economic growth. Especially in these uncertain times, stakeholders with a passion for transparent, accountable governance must work together,” said IFAC Chief Executive Officer, Fayez Choudhury. “Individuals and institutions must be empowered by strong governance; fortified by a consistent, transparent regulatory environment; and enabled by access to a high-speed, secure digital environment.”
IFAC calls on the G20 and other key stakeholders in the global economy to collaborate on:
Raising governance standards across all economic sectors to increase transparency and accountability, and help restore trust and inspire confidence in business and government, key to the G20’s aspirations to: build resilience, improve sustainability, and assume responsibility.
Fostering greater transparency and regulatory consistency to achieve growth, confidence, and stability. This requires an inclusive digital and economic environment for businesses of all sizes, as well as implementation and adoption of high-quality internationally-accepted regulations and standards.
IFAC’s member organizations represent almost 3 million accountants globally. They contribute nearly USD$250 billion gross value added annually, and facilitate higher standards of living. Recent research also shows that a higher percentage of accountants in the workforce strongly correlates to better outcomes in Transparency International’s Corruption Perceptions Index—and that the impact is improved even further when accountants operate in countries with strong governance architectures.
IFAC strengthens the accountancy profession by:
supporting the development of high-quality international standards;
promoting the adoption and implementation of these standards;
building the capacity of professional accountancy organizations; and
speaking out on public interest issues.
Visit IFAC’s website for IFAC’s full recommendations to the G20.
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 more than 175 members and associates in more than 130 countries and jurisdictions, representing almost 3 million accountants in public practice, education, government service, industry, and commerce.
