ICAI Revised Guidance Note-Special Purposes Audit Reports and Certificates. CA can provide reasonable or limited level of assurance.
Auditing and Assurance Standards Board of ICAI has released the revised Guidance Note on Audit Reports and Certificates for Special Purposes.
Chartered Accountants are often required to issue specific reports/certificates required under various laws (Income Tax, VAT, SEBI, RBI etc.), or Government public welfare schemes like MGNREGA Sarva Shiksha Abhiyan etc. These special purpose reports/certificates are sometimes also required by the management of the auditee entities for their own purposes.
The said note is intended to give the required guidance to the CAs in carrying out engagements to issue reports/certificates for special purposes.
By issuing these special purpose report/certificates (which might be described as ‘certificate’ in governing laws and regulations) depending upon the nature, timing and extent of procedures and facts and circumstances of the case, a reasonable or limited level of assurance can be provided by the chartered accountant.
However, it has been provided that frequently performed engagements are not assurance engagements and therefore not covered by the said Guidance Note. The engagements expressly specified as not covered are:
(a) Engagements covered by Standards on Related Services (SRS), such as agreed-upon procedures and compilation engagements;
(b) The preparation of tax returns where no assurance opinion/conclusion is expressed; and
(c) Consulting (or advisory) engagements, such as management and tax consulting.
Revised Guidance Note-Audit Reports and Certificates for Special Purposes Download Click Here >>