In March 2017 the Accounting Professional & Ethical Standards Board (APESB) issued the revised APES 315 Compilation of Financial Information effective for compilation engagements commencing on or after 1 July 2017, with early adoption permitted.
The key change to the revised APES 315 is an update to the reference in paragraph 1.11 to ASIC Corporations (Audit Relief Instrument) 2016/784 which supersedes ASIC Class Order CO 98/1417 Audit relief for proprietary companies.
With many of our members in public practice performing compilation engagements, the revised APES 315 serves as an opportune time to remind members of the obligations imposed by the Standard, particularly as it is repeatedly the most common Standard breached as reported by CPA Australia’s quality review program. More often than not the reason a member is found to be in breach of APES 315 is due to their reliance on the software employed rather than being familiar with the application of the Standard.
Members are reminded that their fundamental responsibility under the Standard when undertaking engagements to compile financial information is to comply with Section 100 Introduction and Fundamental Principles of the Code and relevant laws and regulations.
In a recent live chat, our expert presenters addressed questions to help you understand the application of the APES 315 Standard.
Key issues addressed in the live chat were:
- When does a compilation report need to be prepared?
- The differences between a compilation engagement and an assurance engagement
- Do compilation reports need to be signed?
- Preparing compilation reports for tax returns
The transcript is available as a PDF download.
The experts were:
- Josephine Haste CPA, Manager – Quality Review Education, CPA Australia
- Dr Eva Tsahuridu, Manager Accounting Policy – Policy and Corporate Affairs, CPA Australia
How to avoid the most frequent compilation report breaches