When the pandemic hit America, many workers were required to go remote. But for auditors, the opposite was true: They could no longer “go remote” to client sites – and since they were unable to invade client offices, factories and warehouses for crucial audit functions like inventory counts, they had to get creative.

According to the Association of Chartered Certified Accountants (ACCA) and the International Federation of Accountants (IFAC), the digital-savvy young generation Z – people born between the second half of the 90s and the second half of the 00s – is the main catalyst for change in business, but as to the role of business itself, there are great doubts.

According to a study conducted by the Financial Reporting Council (FRC) and the University of Portsmouth, the FRSE 350 companies has begun to more closely correlate the logic of calculating the amount of remuneration of top managers with the interests of shareholders, expressed in long-term financial results. However, not everything is perfect with detailing the application of the fundamental principles of the Code.

The International Auditing and Assurance Standards Board (IAASB) has launched a survey on future Work Plan for 2022-2023. The strategic tasks facing the organization are of paramount importance, and therefore the current and future IAASB’s work must in any case be in the public interest.

In auditing, as in other areas, it is important to automate the main processes to increase the efficiency and effectiveness of audit work. Therefore, more and more internal audit departments around the world are interested in commercially available software products designed specifically for auditors.

According to Financial Times, the four largest audit firms, as well as BDO, Mazars and Grant Thornton, have asked the Financial Reporting Council (FRC) to pause audit quality inspections if they accept a new client from high-risk companies listed on the London Stock Exchange. This is an exemption from the mandatory quality inspection of the first audit of a new client, because, according to the “big four”, high quality is difficult to ensure during the first inspection, in addition, audit participants are in a state of increased stress, which further increases the risk of an error.

Internal audit is an important component of a successful business. Assessing risks, finding ways to reduce them and increasing the efficiency of business processes, internal audit ensures the effectiveness of all departments and the business as a whole. Meanwhile, every year the internal audit, like the business itself, changes. What trends in the functioning and development of internal audit practice are observed today in Ukraine and the world?

IFRS Taxonomy 2021 is a relative newcomer (the annual update is traditionally released in March), but the International Accounting Standards Board has already proposed updates to it. They concern:

• disclosure of accounting policies. It will be recalled that these were amendments to IAS 1 “Presentation of Financial Statements” and Practice Statement 2 (PS 2) “Making Materiality Judgement”, which appeared in February;

• definition of accounting estimates. Amendments to IAS 8 “Accounting Policies, Changes in Accounting Estimates and Errors” that were made on the same day.

Comments can be submitted until June 21.