an audit of a financial report for a financial year, or an audit of a financial report for a half-year, in accordance with the Corporations Act 2001; and
an audit of a financial report, or a complete set of financial statements, for any other purpose.
This Auditing Standard also applies, as appropriate, to an audit of other historical financial information.
Operative Date
This Auditing Standard is operative for financial reporting periods commencing on or after 1 October 2021.
Introduction
Scope of this Auditing Standard
This Auditing Standard makes amendments to Australian Auditing Standards. The amendments are consequential and conforming amendments arising from the issuance of the revised ASA 101 Preamble to AUASB Standards (September 2021).
Objective
The objective of this Auditing Standard is to make amendments to the following Auditing Standards:
(a) ASA 200 Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Australian Auditing Standards (Issued October 2009 and amended to June 2020)
(b) ASA 700 Forming an Opinion and Reporting on a Financial Report (Issued December 2015 and amended to June 2020)
Definition
For the purposes of this Auditing Standard, the meanings of terms are set out in each Auditing Standard and in the AUASB Glossary. This Auditing Standard does not introduce new definitions.
Amendments to Auditing Standards
This Standard uses underlining, striking out and other typographical material to identify some of the amendments to a Standard, in order to make the amendments more understandable. However, the amendments made by this Standard do not include that underlining, striking out or other typographical material. Amended paragraphs are shown with deleted text struck through and new text underlined. Ellipses (…) are used to help provide the context within which amendments are made and also to indicate text that is not amended.
Amendments to ASA 200
Existing paragraph A56 is amended to read as follows:
The scope, effective date and any specific limitation of the applicability of a specific Auditing Standard is made clear in the Auditing Standard. Unless otherwise stated in the Auditing Standard, the auditor is not permitted to apply an Auditing Standard before the effective date specified therein.
Section Introduction - Auditing Standard ASA 2021-3 Amendments to Australian Auditing Standards - Introduction | Zoe
Amendments to ASA 700
The existing third paragraph of “Conformity with International Standards on Auditing” is amended to read as follows:
The following requirements are additional to ISA 700:
Paragraph Aus 28.1(c) requires the auditor to identify the relevant ethical requirements applicable within Australia when providing the basis for opinion.
Aus 42.1 requires that when the auditor elects to early adopt an Auditing Standard made under 336 of the Corporations Act 2001, in accordance with section 336(4) of that Act, that election is required to be recorded in the auditor’s report.
…
The existing fourth paragraph of “Conformity with International Standards on Auditing” is amended to read as follows:
The following application and other explanatory material is additional to ISA 700:
Paragraph Aus A57.1 identifies the Auditing and Assurance Standards Board and its website address when an auditor refers to a description of the auditor’s responsibilities on a website.
Paragraph Aus A57.2 includes guidance on how the election to early adopt an Auditing Standard made under section 336 of the Corporations Act 2001 could be reported in the auditor’s report and includes a reference to ASA 706 Emphasis of Matter Paragraphs and Other Matter Paragraphs in the Independent Auditor’s Report for further requirements and guidance relevant to Other Matter paragraphs.
…
Following existing paragraph 42, and before the sub-heading “Other Reporting Responsibilities”, the following sub-heading is inserted:
Early adoption of Auditing Standards
Following the sub-heading inserted above, the following paragraph Aus 42.1 is inserted:
When the auditor elects to early adopt an Auditing Standard made under section 336 of the Corporations Act 2001, in accordance with section 336(4) of that Act, that election is required to be recorded in the auditor’s report.
Following existing paragraph Aus A57.1, and before the sub-heading “Other Reporting Responsibilities (Ref: Para. 43-45)” the following sub-heading is inserted:
Early adoption of Auditing Standards
Following the sub-heading inserted above, the following paragraph Aus A57.2 is inserted:
Unless otherwise stated in an Auditing Standard, the auditor is permitted to apply the standard before the operative date specified therein. Where an Auditing Standard is early adopted, all relevant conforming and consequential amendments must also be early adopted.# Where the auditor elects to early adopt an Auditing Standard, the election may be recorded in the auditor’s report as an Other Matter paragraph. Refer to ASA 706 for requirements and guidance relevant to Other Matter paragraphs.
A new footnote, referenced to paragraph Aus A57.2 of this Auditing Standard, is inserted to read as follows:
See ASA 200, paragraph A56 and ASA 101 Preamble to AUASB Standards, paragraphs A33-A35.