Does the receipt of a Quality Assurance review notification fill you with a sense of dread? Here in CPA Ireland, we have started issuing notifications for 2024.
The good news is not to worry as we are here to help!
The first thing to note is that in 2022, 70% of all firms reviewed, received a satisfactory grade.
Here are some valuable tips to help you feel less stressed in the lead up to your review and achieve that satisfactory grade.
1. ISQM 1
The revised quality management standard came into effect on the 15
th December 2022 and it is important to ensure your firm has implemented this in full. We have a Quality Management Standards Resource to assist you in this process
here.
2. CPD Requirements for statutory auditors
For those of you who are statutory auditors, it is important that you plan, complete and evaluate your CPD in line with CPA Bye Law 8 and IES 8. We have standard templates available to assist you in this process
here.
3. Audit Procedures
Ensure the audit programme available from your provider reflects the most up to date auditing standards. For example revisions to ISA 315 (Identifying and Assessing the Risks of Material Misstatement) and ISA 240 (The Auditor’s Responsibilities Relating to Fraud in an Audit of Financial Statements) came into effect for periods beginning on or after the 15th December 2021. A failure to implement these auditing standard revisions in engagements will impact your grade in a Quality Assurance review.
Further guidance on the relevant standards is available
here.
CPA Audit Programmes are available for purchase
here.
4. Audit Evidence and Documentation
Ensure you as the auditor design and perform audit procedures that are appropriate in the circumstances for the purpose of obtaining sufficient appropriate audit evidence. In doing so it is important to ensure all risks identified by you in ISA 315 are captured in this process. For example, in many instances, firms fail to design and perform audit procedures for risks associated with the profit and loss account. It is important to re familiarise yourself with the relevant standard. We have an
annual audit CPD update in December 2023, which may assist in this regard.
5. Key Issues Identified in QA Reviews 2022
In April 2023, we held a CPD webinar in which we presented the key issues identified in Quality Assurance reviews in the year 2022. This is available to purchase
here for €5.
Keep an eye out for a similar webinar which will be hosted by the Quality Assurance team in 2024 setting out the key issues identified in QA reviews in the year 2023.
6. Quality Assurance Website
We have a dedicated resource on our website to guide you through the Quality Assurance process. This sets out what you can expect during a review, the grading structure , post review considerations but to name a few. This is available
here.
7. Technical Queries
If you are in the process of completing an audit and unsure how to address an issue on a file or test a disclosure in a set of financial statements, our technical team are here to help you. We have a dedicated, experienced team available to answer any technical queries you may have in the areas of audit, company law, financial reporting and ethics. The Team aim to provide a solution and information on your query within 24 hours. This service is free to all members and caters to your advisory needs. You can contact the team at:
techqueries@cpaireland.ie
8. Quality Assurance Executive
If you are in doubt, reach out to the Quality Assurance Executive assigned to your review, they will be able to arrange a call to discuss the process with you. The contact details for our team are available
here.