Today, the staff of the International Ethics Standards Board for Accountants (IESBA) released an updated Questions & Answers (Q&A) publication. This updated IESBA staff Q&A publication introduces two revisions:

1. A new question and answer addressing the scenario where a jurisdiction either lacks a PIE definition or has excluded one or more of the mandatory categories in the IESBA PIE definition.
2. An amendment to align with the revisions to ISA 700 (Revised) arising from Track 1 of the IAASB’s project to use the auditor’s report to enhance transparency about the relevant ethical requirements for independence applied for certain entities, such as PIEs, when performing an audit of financial statements.

The IAASB and IESBA have worked closely together throughout their respective Listed Entity and Public Interest Entity (PIE) projects. Track 1 of the IAASB’s project was completed in June 2023 and Track 2 is ongoing. Among other project objectives, Track 2 aims to achieve convergence to the greatest extent possible between the boards’ PIE definitions and key concepts.

Considering the importance of the interoperability of IAASB and IESBA standards, the IAASB PIE project team has incorporated the clarified IESBA position reflected in 1 above into its deliberations. The IAASB will consider different options for Track 2 at the September 2024 IAASB meeting.

The IAASB’s narrow scope revisions to ISA 700 (Revised) and 260 (Revised) arising from Track 1 of its project will become effective for audits of financial statements for periods beginning on or after December 15, 2024, coinciding with the effective date of the PIE definition changes in the IESBA’s International Code of Ethics for Professional Accountants (including International Independence Standards).

The Staff of the International Ethics Standards Board for Accountants (IESBA) today released an update to its Questions and Answers (Q&As) publication, originally published in March 2023, on the IESBA revisions to the definitions of listed entity and public interest entity (PIE) in the IESBA Code of Ethics.

This update includes a new Q&A (16) to address the scenario where a jurisdiction has no PIE definition or excluded one or more of the mandatory categories in the IESBA PIE definition. In addition, Q&A 20 has been updated following the finalization of Track 1 of IAASB’s PIE project and the IAASB’s agreement to update ISA 700 (Revised) so that the auditor’s report can be used as a mechanism for firms to comply with the transparency requirement set out in the IESBA PIE revisions.

The IESBA and the IAASB coordinated closely throughout the development of the IESBA’s revised PIE definition and Track 1 of the IAASB’s PIE project. This high level of coordination has been ongoing as the IAASB works towards finalizing Track 2 of its PIE project. Such coordination is critical to ensure the interoperability of both Boards’ standards.

The Q&A publication is designed to highlight, illustrate or explain aspects of the PIE revisions in the Code and is intended to complement the Basis for Conclusions for the final pronouncement. It aims to assist national standards setters, professional accountancy organizations, and firms in adopting and/or implementing the PIE revisions.

The PIE revisions are effective for audits of financial statements for periods beginning on or after December 15, 2024. Read the revisions here.

Note: References to paragraph numbers in the updated Q&A publication were updated to reflect the 2024 version of the IESBA Code.

About IESBA
The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board, the IESBA is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards. 

The International Ethics Standards Board for Accountants (IESBA) today released the 2024 Handbook of the International Code of Ethics for Professional Accountants (including International Independence Standards). This handbook replaces the 2023 edition and incorporates the following:

• The revisions relating to the definition of a public interest entity which, among other matters, specifies a broader list of mandatory public interest entity categories, including a new category “publicly traded entity” to replace the category of “listed entity.”
  • The revised public interest entity definition and related provisions will be effective for audits of financial statements for periods beginning on or after December 15, 2024.
• Changes to the definitions of “audit client” and “group audit client” in the Glossary arising from the approved revisions to the definitions of listed entity and public interest entity.
  • The revised definitions will be effective for audits of financial statements and group financial statements for periods beginning on or after December 15, 2024.
• Technology-related provisions of the Code.
  • The technology-related revisions to Parts 1 to 3 will be effective as of December 15, 2024.
  • The technology-related revisions to Part 4A will be effective for audits and reviews of financial statements for periods beginning on or after December 15, 2024.

The back of the 2024 Handbook contains the IESBA-approved revisions to the Code addressing Tax Planning and Related Services, which will become effective after June 2025.

Click here to learn more about the IESBA Code.

Reproducing and Translating the IESBA Handbook
To help adoption and implementation of the IESBA standards, stakeholders are invited to submit requests for permission to reproduce or translate the IESBA Handbook online via the Online Permissions Requests or Inquiries system on the IFAC website.

About IESBA
The International Ethics Standards Board for Accountants (IESBA) is an independent global standard-setting board. The IESBA’s mission is to serve the public interest by setting high-quality, international ethics (including independence) standards as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board, the IESBA is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board (PIOB) oversees IESBA and IAASB activities and the public interest responsiveness of the standards. 

The IAASB has released the 2023-2024 edition of the Handbook of International Quality Management, Auditing, Review, Other Assurance, and Related Services Pronouncements, which includes International Standard on Auditing (ISA) 600 (Revised), Special Considerations—Audits of Group Financial Statements (Including the Work of Component Auditors).

The International Standard on Auditing for Audits of Financial Statements of Less Complex Entities, known as the ISA for LCE, is also included although it has not yet become effective for jurisdictions that adopt the standard.

For the first time, the 2023-2024 Handbook comprises four volumes to improve user experience and accommodate new as well as revised standards.

• Volume 1 – International Auditing Practice Notes, International Standards on Auditing, and International Standards on Quality Management
• Volume 2 – The ISA for LCE
• Volume 3 – International Standards on Assurance Engagements, International Standards on Review Engagements, and International Standards on Related Services
• Volume 4 – A Framework for Audit Quality and the International Framework for Assurance Engagements

The 2023-2024 Handbook is available as a PDF download and print orders via the IAASB website.

Reproducing and Translating the IAASB Handbook
To help adoption and implementation of the IAASB standards, stakeholders are invited to request permission to reproduce or translate the IAASB handbook via the Online Permissions Requests or Inquiries system on the IFAC website.

About the IAASB
The International Auditing and Assurance Standards Board develops auditing, assurance, related services, and quality management standards and guidance in the public interest that support consistent performance of quality engagements. Along with the International Ethics Standards Board for Accountants, the IAASB is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board oversees IAASB and IESBA activities and the public interest responsiveness of the standards. For copyright, trademark, and permissions information, please visit Permissions.

The International Auditing and Assurance Standards Board (IAASB) has issued new guidance on the application of the International Standard on Auditing for Audits of Financial Statements of Less Complex Entities, known as the ISA for LCE. The Authority Supplemental Guidance will help users in determining the appropriate situations to use the standard.

The guidance will be particularly beneficial for legislative and regulatory authorities implementing the standard, firms developing related policies or procedures, and auditors determining whether the standard is appropriate to use for a specific engagement.

Accessible on the IAASB website, this guide complements previously released resources, including videos, webinars, and the Auditor Reporting Supplemental Guidance. Later this year, the IAASB will also issue an adoption guide and a first-time implementation guide. Collectively, these materials provide a comprehensive toolkit for navigating adoption and implementation of the ISA for LCE.

The new guidance does not amend or override the ISA for LCE, the text of which alone is authoritative. Reading the guidance is not a substitute for reading the ISA for LCE. For more information and to access the new guidance, visit: www.iaasb.org/ISAforLCE

The International Public Sector Accounting Standards Board (IPSASB) has released Exposure Draft (ED) 91, Limited-scope Updates to First-time Adoption of Accrual Basis International Public Sector Accounting Standards (IPSAS) (Amendments to IPSAS 33) for public comment. 

“The IPSASB encourages public-sector entities and jurisdictions around the world to apply the accrual basis of accounting through the adoption and implementation of accrual basis IPSAS. The successful application of IPSAS 33 is often a cornerstone of IPSAS adoption and implementation” said IPSASB Chair Ian Carruthers. “This ED aims to clarify the requirements of IPSAS 33 to assist entities and jurisdictions in successfully completing their IPSAS transition journey.” 

IPSAS 33, First-time Adoption of Accrual Basis International Public Sector Accounting Standards (IPSAS), was issued in 2015 and has been applied by a number of public sector entities during their transition to accrual basis IPSAS. The IPSASB heard from these stakeholders that: 

• IPSAS 33 should be more user-friendly when applied as part of the entity’s broader transition journey; 
• Reliefs should be more clearly set in the entire transition process to accrual basis IPSAS; and 
• Reliefs should be designed to encourage the recognition and measurement of items, contributing to compliance as early as possible. 

The proposals in the Limited Scope Update Project do not propose to change the objective, scope, or available exemptions in IPSAS 33. Rather, the amendments to IPSAS 33 are aimed to make it easier to apply and to encourage first-time adopters to comply with IPSAS in a planned way as soon as possible. Feedback received to this ED will help shape the final amendments to IPSAS 33. 

How to Comment 
Access the ED, supplementary material, and the summary At-a-Glance documents, or to submit a comment. Comments on the ED are requested by December 13, 2024. The IPSASB encourages IFAC® members, associates, and regional accountancy organizations to promote the availability of these ED to their members and employees. 

About the IPSASB  
The International Public Sector Accounting Standards Board (IPSASB) works to strengthen public financial management globally through developing and maintaining accrual-based International Public Sector Accounting Standards® (IPSAS®) and other high-quality financial reporting guidance for use by governments and other public sector entities. It also raises awareness of IPSAS and the benefits of accrual adoption. The Board receives support from the Asian Development Bank, the Chartered Professional Accountants of Canada, the New Zealand External Reporting Board, the government of Canada, and The World Bank. The structures and processes that support the operations of the IPSASB are facilitated by the International Federation of Accountants (IFAC). For copyright, trademark, and permissions information, please go to permissions or contact permissions@ifac.org.  

About the Public Interest Committee  
The governance and standard-setting activities of the IPSASB are overseen by the Public Interest Committee (PIC), to ensure that they follow due process and reflect the public interest. The PIC is comprised of individuals with expertise in public sector or financial reporting, and professional engagement in organizations that have an interest in promoting high-quality and internationally comparable financial information.  

In preparation for its 5^th Research Forum, which will be co-hosted by Comparative International Governmental Accounting Research Network (CIGAR) at its June 2025 conference, the IPSASB is calling for scholarly contributions from the academic community. This is an opportunity for researchers to have a significant impact on accounting standards used by governments and public sector entities across the globe.

Coordinated through the Academic Advisory Group, which includes independent scholars from all parts of the world, as well as the IPSASB members who have an academic background, the IPSASB is offering a grant of USD $2,000 for selected scholarly papers submitted covering three research areas. Up to six grants are available in total.

The research areas of interest are:

• Presentation of Financial Statements
• Interaction with GFSM 2014
• Accounting for Biodiversity in the Public Sector
• IPSAS 18, Segment Reporting
• IPSAS 20, Related Party Disclosures
• IPSAS 31, Intangible Assets
• IPSAS 35, Consolidated Financial Statements
• IPSAS 41, Financial Instruments

The grant recipients, as well as other scholars, will present the first drafts of their full papers at the 2025 Research Forum (June 2025). As a first step, academics are invited to submit abstracts by October 4, 2024. For more information, see the IPSASB’s Call for Papers.

Learn more about the Academic Advisory Group and submit.

About the IPSASB
The International Public Sector Accounting Standards Board® (IPSASB®) works to strengthen public financial management globally through developing and maintaining accrual-based International Public Sector Accounting Standards^® (IPSAS^®) and other high-quality financial reporting guidance for use by governments and other public sector entities. It also raises awareness of IPSAS and the benefits of accrual adoption. The Board receives support from the Asian Development Bank, the Chartered Professional Accountants of Canada, the New Zealand External Reporting Board, the government of Canada, and the World Bank. The structures and processes that support the operations of the IPSASB are facilitated by the International Federation of Accountants (IFAC). For copyright, trademark, and permissions information, please go to permissions or contact permissions@ifac.org.

About the Public Interest Committee
The governance and standard-setting activities of the IPSASB are overseen by the Public Interest Committee (PIC), to ensure that they follow due process and reflect the public interest. The PIC is comprised of individuals with expertise in public sector or financial reporting, and professional engagement in organizations that have an interest in promoting high-quality and internationally comparable financial information.

The International Public Sector Accounting Standards Board^® (IPSASB^®) has released Exposure Draft (ED) 90, Amendments to IPSAS as a Result of the Application of IPSAS 46, Measurement for public comment.

After publishing IPSAS 46, Measurement, and the Updated Conceptual Framework: Chapter 7, Measurement of Assets and Liabilities in Financial Statements in May 2023, the IPSASB evaluated the applicability of its new Current Operational Value public sector measurement basis across existing IPSAS.

“ED 90 builds upon the important work accomplished in IPSAS 46, Measurement released last year which provides an integrated approach to valuation to help entities measure public sector assets,” said Ian Carruthers, IPSASB Chair. “These amendments will provide users of public sector general purpose financial statements with more relevant and faithfully representative measurement information through the potential application of public sector specific guidance across a broader range of situations.”

The amendments to IPSAS proposed in ED 90 are the introduction of current operational value in IPSAS 12, Inventories, IPSAS 21, Impairment Non-Cash Generating Assets, and IPSAS 31, Intangible Assets, the addition of a definition of accounting estimates to IPSAS 3, Accounting Policies, Changes In Accounting Estimates and Errors, and the enhancement of the terminology in current value measurement disclosures.

The feedback received from ED 90 will help shape the final amendments related to the application of Current Operational Value across existing IPSAS.

How to Comment
Access the Exposure Draft, its summary At-a-Glance document, Webcast, or submit a comment. Comments are requested by November 29, 2024. The IPSASB encourages IFAC members, associates, and regional accountancy organizations to promote the availability of this Exposure Draft to their members and employees.

About the IPSASB
The International Public Sector Accounting Standards Board® (IPSASB®) works to strengthen public financial management globally through developing and maintaining accrual-based International Public Sector Accounting Standards^® (IPSAS^®) and other high-quality financial reporting guidance for use by governments and other public sector entities. It also raises awareness of IPSAS and the benefits of accrual adoption. The Board receives support from the Asian Development Bank, the Chartered Professional Accountants of Canada, the New Zealand External Reporting Board, the government of Canada, and the World Bank. The structures and processes that support the operations of the IPSASB are facilitated by the International Federation of Accountants (IFAC). For copyright, trademark, and permissions information, please go to permissions or contact ﷟permissions@ifac.org.

About the Public Interest Committee
The governance and standard-setting activities of the IPSASB are overseen by the Public Interest Committee (PIC), to ensure that they follow due process and reflect the public interest. The PIC is comprised of individuals with expertise in public sector or financial reporting, and professional engagement in organizations that have an interest in promoting high-quality and internationally comparable financial information.

The IESBA today submitted a comment letter to the Committee of European Auditing Oversight Bodies (CEAOB) regarding the CEAOB’s draft non-binding guidelines on limited assurance on sustainability reporting under the Corporate Sustainability Reporting Directive (CSRD) in the European Union (EU).

Starting from financial years beginning on or after January 1, 2024, large companies in the EU are required to draw up sustainability statements in accordance with the European Sustainability Reporting Standards (ESRS). These statements are required to be subject to an assurance engagement by statutory auditors or other assurance services providers.

To prevent fragmentation and promote consistency in practices until the European Commission’s (EC) adoption of an assurance standard at EU level by October 1, 2026, the EC has invited the CEAOB to develop non-binding guidelines regarding limited assurance on sustainability reporting.

To read the full comment letter, please click here.

About IESBA

The International Ethics Standards Board for Accountants serves the public interest by setting high-quality ethics standards, including independence requirements, as a cornerstone to ethical behavior in business and organizations, and to public trust in financial and non-financial information that is fundamental to the proper functioning and sustainability of organizations, financial markets and economies worldwide.

Along with the International Auditing and Assurance Standards Board (“IAASB”), the IESBA is part of the International Foundation for Ethics and Audit (“IFEA”). The Public Interest Oversight Board (“PIOB”) oversees IESBA and IAASB activities and the public interest responsiveness of the standards.

The International Federation of Accountants (IFAC) warmly welcomes the appointment of Eelco van der Enden as the new Chief Executive Officer of Accountancy Europe.

Lee White, Chief Executive of IFAC, said: "I am thrilled to have the opportunity to work closely with Eelco again and for the benefit of our global profession. His proven track record and visionary leadership will undoubtedly contribute to the continued success and evolution of the accountancy profession across Europe."

With his impressive background and extensive experience in the accountancy profession, bringing more than 20 years of experience in financial and sustainability senior management roles, Eelco van der Enden is set to lead Accountancy Europe into a new era of innovation and growth.

“I have personally had the privilege to work with Eelco for a number of years. He has been pivotal in leading GRI through increasing harmonization of sustainability reporting, working closely with partners towards a common baseline for globally applicable and comparable sustainability data.  I am confident that he will now play a crucial role in advancing our shared goals,” Lee White commented.

“And as we welcome Eelco, I also want to praise the outstanding contribution of Olivier Boutellis-Taft during his tenure as CEO of Accountancy Europe," noted Lee White.

“Olivier's inspirational leadership over the past 18 years has been instrumental in navigating the organization through significant regulatory changes and advancing the role of accountants in the sustainability and digital transformations. His commitment to fostering collaboration among stakeholders and promoting transparency and accountability has left a lasting impact on the profession. Under his guidance, and thanks to Olivier’s “out-of-the-box” thinking and ability to take bold decisions, Accountancy Europe has solidified its position as a leading voice in the European accountancy community, and has become a key partner for EU policy-makers. I am deeply grateful for his dedicated service to our profession," Lee White added.

IFAC and Accountancy Europe share a longstanding commitment to promoting high-quality standards and practices within the accountancy profession, at all levels. Under Eelco van der Enden’s direction, both organizations are poised to further strengthen their collaboration to enhance the value for our members and serve the public interest.

"Our profession is at a critical juncture where the need for robust cooperation is more important than ever. Together, we can drive economic growth and sustainability transformation by enabling the necessary transparency and accountability that build trust in organizations," Lee White concluded.

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 180 members and associates in more than 135 jurisdictions, representing millions of professional accountants in public practice, education, government service, industry, and commerce.