SSA 600 (Revised), Special Considerations – Audits of Group Financial Statements (Including the Work of Component Auditors), issued in March 2023, would be effective for audits of financial statements for periods beginning on or after 15 December 2023. The new standard brings about a significant shift in the approach towards planning and executing group audits.  

The key revisions to the extant standard include:

• Introducing a new risk-based approach for planning and performing a group audit engagement, with greater focus on risk assessment and designing responsive audit procedures.

• Clarifying the requirements of quality management in a group audit, including sufficient and appropriate resources to perform the engagement, and the direction and supervision of the engagement team and the review of their work.

• Clarifying the various types of restrictions that may exist, such as restrictions on access to people and information and component auditor audit documentation, and guidance on ways to overcome such restrictions.

• Clarifying how the concepts of materiality and aggregation risk apply in a group audit.

• Enhancing documentation requirements and highlighting the importance of the group auditor’s review of component auditor audit documentation.

• Strengthening and reinforcing the need for robust communication and interactions between the group auditor and component auditors.

• Emphasising the importance of exercising professional skepticism.

Other than the key revisions to the standard, the session will also cover key reminders and practical help tips when executing group audits.

Join us for this web-bitez to familiarise yourself with the significant updates to facilitate the seamless execution of high-quality group audits.  

The webinar is organised by ISCA Auditing and Assurance Standards Committee (AASC) to share the significant changes to the standard and how you can plan for your group audits.