|
Status: Final Canadian Auditing Standard (CAS 300) approved. Objectives of this Project
Scope
Background
Issues
IAASB Discussions to Date
AASB comments on IAASB material
Further Information Objectives of this Project The objective of this project is to replace existing Canadian standards and guidance on the considerations and activities applicable to planning an audit of financial statements with the equivalent International Standard on Auditing (ISA). Scope This project proposes to replace Section 5150, Planning, with a new Canadian Auditing Standard (CAS) that essentially adopts the clarified International Standard on Auditing 300, Planning an Audit of Financial Statements (ISA 300), that was recently approved by the International Auditing and Assurance Standards Board (IAASB). The Canadian standard that will be the outcome of this project will have a new number and title that are the same as ISA 300 — i.e., Canadian Auditing Standard 300, Planning an Audit of Financial Statements (CAS 300). Background The AASB’s intention to replace Section 5150 with clarified ISA 300, is in keeping with the AASB’s decision to adopt ISAs. The AASB and staff monitored, reviewed and provided feedback on the IAASB data sheets and discussions relevant to its project to clarify ISA 300. The AASB and staff also provided comments on the IAASB’s exposure draft, and considered whether any amendments to the ISA were needed in light of specific Canadian circumstances. Any amendments made to the ISA will be clearly highlighted and explained in the final Handbook material. To view the AASB’s guidelines for amending ISAs when proposing to adopt them as Canadian Auditing Standards, click here. The IAASB’s exposure draft, which was issued in November 2005, included 4 standards (ISA 240, The Auditor’s Responsibility to Consider Fraud in an Audit of Financial Statements, ISA 300, Planning an Audit of Financial Statements, ISA 315, Understanding the Entity and Its Environment and Assessing the Risks of Material Misstatement and ISA 330, The Auditor’s Procedures in Response to Assessed Risks). Similarly, the AASB issued an Exposure Draft in January 2006 that included all 4 equivalent Canadian standards. To view the IAASB ED, click here. Issues In clarifying existing ISA 300, the IAASB redrafted existing ISA 300 in the new drafting convention with minimal revisions to the existing principles and guidance. Further information on the IAASB’s project to clarify existing ISAs without revising them is available on the IAASB project summary. IAASB Discussions to Date
Background papers that are the basis of the IAASB’s discussions, along with meeting summaries and audio recordings of the actual discussions, can be accessed on the IAASB’s website by clicking here and then on the date of the meeting at which matters pertaining to a project were discussed. - Matters pertaining to the clarification of ISA 300, Planning an Audit of Financial Statements (ISA 300), were discussed at the following IAASB meetings:
- September 18-22, 2006
- July 10-13, 2006
- May 22-26, 2006
- October 19-21, 2005
- September 12-16, 2005
The AASB has officially provided the following comments to the IAASB which can be found on the IAASB’s website by clicking here. Further Information Staff contact: Eric Turner, CA
Telephone no.: +1 (416) 204 3240 |
