PROFESSIONAL STANDARDS
PROFESSIONAL STANDARDS
In accordance with Article 32(4) of Law No 162/2017, the term “international auditing standards” means the International Standards on Auditing (ISA), International Standard on Quality Control 1 (ISQC 1) and other related standards issued by the International Federation of Accountants (IFAC) through the International Auditing and Assurance Standards Board (IAASB), insofar as they are relevant to statutory audits.
Under Article 26(3) of Directive 2006/43/EC of the European Parliament and of the Council of 17 May 2006 on statutory audits of annual accounts and consolidated accounts, amending Council Directives 78/660/EEC and 83/349/EEC and repealing Council Directive 84/253/EEC, as amended and supplemented, statutory auditors and audit firms must carry out statutory audits in accordance with the international auditing standards adopted by the European Commission.
The implementation of the requirements of the auditing standards will be supported by a programme designed to give ASPAAS assurance that statutory auditors, whether natural or legal persons, are aware of all ethical requirements and of the consequences of failing to comply with them. Such information may be communicated to them individually, through manuals, technical publications, professional journals, reports on hearings and disciplinary activities, continuing professional education programmes, publications, the financial and business press, and responses to requests for advice from the relevant committee.
ASPAAS ensures compliance with professional standards by reviewing, during quality inspections, the statutory auditor’s or audit firm’s own quality control policies and procedures:
- compliance by the statutory auditor or audit firm with the applicable auditing and quality control standards;
- including those laid down in Chapter IV of Directive 2006/43/EC,
- in Articles 4 and 5 of Regulation (EU) No 537/2014, and
- in Article 32 of Law No 162/2017.
In accordance with Article 40(6)(a) and (b) of Law No 162/2017, the failure to apply, or the inadequate application of, Article 28(1)(a) to (g) and (k) of Law No 162/2017, as well as the lack of audit evidence supporting the conclusions on which the audit opinion was issued, are considered serious misconduct and are sanctioned in accordance with Article 40(4)(d) or (e) of Law No 162/2017.
Where the statutory audit of small undertakings is required, the application of auditing standards must be proportionate to the scale and complexity of the activities of such undertakings.
In accordance with Article 32 of Law No 162/2017, the international auditing standards are translated into Romanian and published under the responsibility of ASPAAS.
The Romanian translation of the Handbook of International Quality Control, Auditing, Review, Other Assurance, and Related Services Pronouncements, 2018 Edition, Volume I, of the International Auditing and Assurance Standards Board (IAASB), published by the International Federation of Accountants (IFAC), is made available free of charge to members of the profession by ASPAAS, at: https://www.codetic-standardei
