SPECIAL PURPOSE FINANCIAL REPORTING – WHAT IS THE RIGHT OPINION?
WHAT IS THE ISSUE HERE?
When a casual reader reads an audit report they expect to see a phrase that says something like “true and fair” or the more recent “fairly presented”. These are the words that indicate a “clean” report – so no need to read all the other boring detail!
The problem is – what about if those words are missing? What if the report just says “In our opinion, the accompanying financial statements of Client X Limited for the year ended xxxxx are prepared, in all material respects in accordance with the accounting policies stated in Note X,” [or whatever might be appropriate] And that’s it? Nothing about true and fair or fairly presented?
The wording above is what we are required to use in terms of ISA (NZ) 800 (revised) Audits of Financial Statements Prepared in Accordance with Special Purpose Frameworks if we are auditing certain kinds of financial statements. For example Illustration 2 from that standard: This really applies to the audit of special purpose report which are no General Purpose Financial Reporting (GPFRS).
APPLICATION TO SAMOA.
Very applicable to the audit of Projects which requires a hybrid approach ie partial agreed upon procedures and usual audit reporting requirements. With the introduction of the $1m Constituency Funding from Samoa Government to all the Constituents in Samoa. Obviously, 0n the face of the “”District Council Establishment Fund Guidelines”, auditors at a glance will assume the engagement as an Agreed Upon Procedures (AUP).
AUDIT ASSISTANT REVIEW OF NEW ISA 315
Remember CAATs? This was an acronym for Computer Assisted Audit Tools – a general category for all things computery that helped us work with more efficiency and power.
Now that virtually all we do uses a computer, ISA 315 (Revised 2019) does not refer to CAATs but to Automated Tools and Techniques (ATTs).
This kind of thing gets audit software developers like us salivating like Fluffy when the fridge door opens. But let’s stay calm and examine what the standard says first.
NOTICE: UPDATE ON THE TAX INVOICE MONITORING SYSTEM (TIMS)
In support of the Government's mandate in assisting the development of small sized businesses, Cabinet has approved that the Tax Invoice Monitoring System (TIMS) will not apply to businesses with an annual turnover of less than SAT$200,000 tala.
Amendment to IFRS 16 Leases Paragraph 46B is amended
Amendment to IFRS 16 Leases Paragraph 46B is amended. Paragraphs C1C and C20BA–C20BC are added. New text is underlined and deleted text is struck through.
Subsequent measurement ...
Lease modifications ...
The practical expedient in paragraph 46A applies only to rent concessions occurring as a direct consequence of the covid-19 pandemic and only if all of the following conditions are met:
Auditors are prime candidates for burnout
Auditors are prime candidates for burnout, but some accounting firms are dealing with mental health head on.
- Auditors are at risk of burnout due to the constant nature of the job.
- COVID-19 has shone the spotlight on mental health across the accounting profession.
- Restructuring workflow may help mid-tier firms reduce the burnout risk.
SHOULD SAMOA ADOPTS THE USA COVID RELIEF GRANTS FOR BUSINESSES AND PEOPLE
SHOULD SAMOA ADOPTS THE USA COVID RELIEF GRANTS FOR BUSINESSES AND PEOPLE WITH SEVERE IMPACT. ALTHOUGH FACING THE CRISIS, THE NPF 10% INCREASE CONTINUES!
SBA debt relief
SBA offers debt relief to existing SBA loan borrowers whose businesses have been impacted by COVID-19.
Paycheck Protection Program
An SBA-backed loan that helps businesses keep their workforce employed during the COVID-19 crisis.
COVID-19 Economic Injury Disaster Loan
This loan provides economic relief to small businesses and nonprofit organizations that are currently experiencing a temporary loss of revenue.
SU’A INDUCTED IN CHARTERED ACCOUNTANTS AUSTRALIA NEW ZEALAND CAANZ
Tagaloa Fa'afouina Su'a inducted in the college of Chartered Accountants (CA) for Chartered Accountant Australia & New Zealand (CAANZ) last night at a ceremony held Cordis Hotel in Auckland CBD.
Important Notice VAGST
VAGST THRESHOLD IN SAMOA
All business with sales over $130,000.00 per annum requires registration for VAGST at Ministry for Revenue.