CRO Annual Report
Some highlights of interest to accountants and auditors will be:
- Notices filed about the lack of adequate accounting records maintained by companies (Section 392. Companies Act 2014 – the Registrar received 4 notices from auditors during 2022 (None were filed in 2021 and 7 such reports were filed in 2020);
- 19 cases (14 cases in 2021) occurred where auditors notified the CRO that their auditors registration number was used to file auditors reports without permission;
- 7 auditors were removed in 2022 compared to 11 in 2021;
- 2,655 auditors resigned in 2022, which is a fall of nearly 17% compared to the 2021 level of resignations (3,188);
- Limited companies make up 89% of the total corporate population at the end of 2022.
Readers may already be aware that the CRO Forum is where the CRO hosts regular meetings with representatives of its client base, including representatives of the main accountancy bodies – the CCAB-I. This is the forum where issues like the issue of PPSN requirements for Directors are thrashed out. Minutes of past meetings may be viewed here for progress in CRO matters -the last meeting being in June 2023.
The next meeting takes place on 20 September 2023.
IT Controls Assessment
Auditors are reminded that there are relatively significant changes in the requirements of ISA 315 Identifying and Assessing the Risks of Material Misstatement for accounting periods commencing 15 December 2021, which in practical terms means, accounting periods Ended 21 December 2022 and later.
Auditors dealing with the audits of entities with such accounting periods affected by these change will need, to adopt new audit programmes and, in additional to the normal audit tests, to also assess the entity’s IT controls (no matter what the size of that entity).
This is a significant new development for auditors of SMEs, in particular, and will be a game changer in the type of audit documentation and evidence of assessment of such IT controls by the auditor on audit files.
For an easy to implement additional (two page) IT Controls Questionnaire to help document the above process, please click on this link to download immediately for only €60 + VAT.
Please go to our website to see our:
- Anti-Money Laundering Policies Controls & Procedures Manual (March 2022) – View the Table of Contents click here.
- AML webinar (March 2022) available here, which accompanies the AML Manual. It explains the current legal AML reporting position for accountancy firms and includes a quiz. Upon completion, you receive a CPD Certificate of attendance in your inbox.
- letters of engagement and similar templates. Please visit our site here where immediate downloads are available in Word format. A bulk discount is available for orders of five or more items if bought together.
- ISQM TOOLKIT or if you prefer to chat through the different audit risks and potential appropriate responses presented by this new standard, please contact John McCarthy FCA by e-mail at email@example.com.