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Audit Evidence and Risk Response
Updated June 2025
In June 2025, the IAASB discussed several topics relevant to the concurrent revisions of ISA 500, Audit Evidence; ISA 330, The Auditor’s Responses to Assessed Risks; and ISA 520, Analytical Procedures.
Since March 2025, the project has undertaken significant outreach with a broad range of stakeholders to gather feedback and insight to inform the IAASB’s deliberations of issues as an exposure draft is developed for the in-scope standards. This includes focused discussions with financial statement users, working sessions with audit regulators and oversight bodies, deep dive sessions with individual audit firms, and engagements with the Forum of Firms, Global Public Policy Committee, International Federation of Accountants’ Small and Medium Practices Advisory Group, the IAASB Jurisdictional Auditing Standard Setters Liaison Group and professional accountancy organizations. In addition, the project team will facilitate a virtual roundtable discussion in July 2025 with diverse stakeholders to gather varying perspectives on selected topics under consideration for the project.
The next IAASB discussion is scheduled for September 2025, when a comprehensive summary of key insights and takeaways from the collective stakeholder outreach will be shared with IAASB members. The IAASB will also consider further proposals by the project team in developing an exposure draft.
For further information, visit the Audit Evidence and Risk Response project page.
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Experts Narrow-Scope Amendments
Updated June 2025
This is a narrow scope standards maintenance project to consider targeted amendments to IAASB standards arising from recently approved revisions to the International Ethics Standards Board for Accountants’ (IESBA) International Code of Ethics for Professional Accountants (including International Independence Standards) related to using the work of an external expert.
In April 2025, the IAASB opened a public consultation for an Exposure Draft of these narrow-scope amendments. Stakeholders reminded to submit their feedback via the provided Response Template by July 24, 2025.
The narrow-scope amendments will help maintain the interoperability of the IAASB standards with the IESBA Code. The amendments address changes to:
- ISA 620, Using the Work of an Auditor’s Expert
- ISRE 2400 (Revised), Engagements to Review Historical Financial Statements
- ISAE 3000 (Revised), Assurance Engagements Other than Audits or Reviews of Historical Financial Information
- ISRS 4400 (Revised), Agreed-upon Procedures Engagements
For further information, visit the Experts Narrow-Scope Amendments project page.
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Fraud
Updated July 2025
In July 2025, the IAASB issued ISA 240 (Revised), The Auditor’s Responsibilities Relating to Fraud in an Audit of Financial Statements [Link to be added July 7, 2025],, to strengthen and clarify auditor responsibilities relating to fraud in an audit of financial statements. The standard is effective for audits of financial statements for periods beginning on or after December 15, 2026.
The revised fraud standard promotes consistent practice and drives change in auditor behavior when addressing fraud. The key revisions:
- Reinforce the exercise of professional skepticism throughout the audit;
- Clarify and add emphasis on the auditor’s responsibilities;
- Enhance communications throughout the audit with management and those charged with governance;
- Apply a fraud lens on risk identification and assessment;
- Enable robust work effort requirements if fraud or suspected fraud is identified;
- Enhance transparency by communicating key audit matters related to fraud in the auditor’s report; and
- Enhance audit documentation requirements.
The IAASB has published a Basis for Conclusions and fact sheet alongside the revised standard. A four-part video series will be released in Q3 2025 featuring an overview of the key changes in ISA 240 (Revised). Learn more about the revised standard and access related resources on the Fraud and Going Concern focus area web page.
To learn more about the journey to this approved standard, visit the Fraud project page.
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Going Concern
Updated April 2025
Following its approval at the December 2024 IAASB meeting, International Standard on Auditing 570 (Revised 2024), Going Concern, has been published .
The revised standard responds to corporate failures that raised questions regarding the auditor’s responsibilities by significantly enhancing the auditor’s work in evaluating management’s assessment of an entity’s ability to continue as a going concern. Effective for audits of financial statements for periods beginning on or after December 15, 2026, the revised going concern standard aims to promote consistent practice and behavior from auditors when addressing going concern.
The key revisions:
- Enable the robust identification of events or conditions that may cast significant doubt on the entities ability to continue as a going concern, strengthen the auditor’s evaluation of management’s assessment of going concern, and support the appropriate exercise of professional skepticism, including to consider the risk of management bias.
- Extend the commencement date of the twelve-month period of management’s assessment of going concern that is used as the basis for the auditor’s evaluation from the date of the financial statements to the date of approval of the financial statements.
- Enhance transparency with respect to the auditor’s responsibilities and work related to going concern, including strengthening communications and auditor reporting requirements.
To support effective implementation, the IAASB has published a fact sheet and Basis for Conclusion alongside the revised standard. Additional materials will follow in the coming months.
To learn more about the journey to this approved standard, visit the Going Concern project page.
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ISA 500 Series
Updated June 2025
Based on the information-gathering and research to date, at the June 2025 meeting the IAASB discussed initial issues identified as relevant for revising targeted standards in the ISA 500 Series. These standards include:
- ISA 501, Audit Evidence – Specific Considerations for Selected Items
- With a focus on inventory.
- ISA 505, External Confirmations; and
- ISA 530, Audit Sampling.
The next IAASB discussion of the project is scheduled for December 2025, when the IAASB will discuss feedback from additional information gathering. The IAASB will also review an initial draft project proposal outline.
In the meantime, significant outreach is ongoing, including working sessions with firms, regulators and other stakeholders.
For further information, visit the ISA 500 Series project page.
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ISSA 5000 Implementation for Sustainability Assurance
Updated March 2025
Following the publication of International Standard on Sustainability Assurance (ISSA) 5000, General Requirements for Sustainability Assurance Engagements, along with a package of materials to help stakeholders understand and implement the standard, the IAASB is now focusing on supporting adoption and implementation. This includes ongoing outreach and developing materials that encourage effective, consistent adoption for both mandatory and voluntary assurance engagements on general purpose sustainability information reported.
To support effective implementation of ISSA 5000, the IAASB invites stakeholders to submit implementation questions or matters for the IAASB’s consideration. Visit the ISSA 5000 web page for full details and a link to the submission form.
The IAASB will continue support implementation across jurisdictions globally.
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Listed Entities and Public Interest Entities (PIEs)
Updated June 2025
The IAASB approved narrow scope amendments to the ISQMs, ISAs and ISRE 2400 (Revised), Engagements to Review Historical Financial Statements at its June 2025 meeting.
The narrow scope amendments will be published following certification by the Public Interest Oversight Board, anticipated in Q3. After certification and publication, the narrow scope amendments will be effective for audits (and reviews) of financial statements for periods beginning on or after December 15, 2026.
The narrow scope amendments:
- Adopt the same definition of publicly traded entity (PTE)—recognizing the role of local bodies in defining PTEs—in the ISQMs and ISAs as adopted in the IESBA Code of Ethics.
- Incorporate the key concepts underlying the definition of PTE used in the related revisions to the IESBA Code in the ISQMs and ISAs. This includes an overarching objective for the differential requirements and a framework for when it may be appropriate to apply such requirements to other entities.
- Amend the applicability of the existing requirements for audits of listed entities to apply to audits of PTEs.
- Add a new requirement in ISRE 2400 (Revised) for public disclosure of the application of specific independence criteria for review engagements of certain entities when mandated by the relevant ethical requirements, e.g., for Public Interest Entities.
The approval followed the broad support received by respondents to the Post-Exposure Consultation: Invitation to Comment that closed on March 27, 2025. The IAASB also reviewed an analysis of respondents’ observations on the IAASB’s final position and rationale related to the PIE-Track 2 project and certain forward-looking matters (i.e., effective date and future joint action with IESBA).
To learn more about the journey to these approved narrow scope amendments, visit the Listed Entity and Public Interest Entity (Track 2) project page.
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Modernizing ISRE 2410
Updated June 2025
At its June 2025 meeting, the IAASB discussed and approved a project proposal to revise ISRE 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity.
The IAASB also discussed:
- Initial drafting of select sections of proposed ISRE 2410 (Revised); and
- Possible enhancements to the form, content and structure of the auditor’s review report, including the order of information presented in the auditor’s review report, and the form of the auditor’s conclusion.
At its September 2025 meeting, the IAASB will consider recommendations to address issues related to quality management at the engagement level; the auditor’s understanding of the entity and its environment, including the system of internal control, as a basis for determining the review procedures to be performed; going concern in the context of an interim review engagement; and first-time review engagements.
For further information, visit the ISRE 2410 project page.
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Technology Position
Updated June 2025
In September 2024, the IAASB adopted a new Technology Position that will guide how the IAASB adapts its work to embrace the intersection of audit, assurance, and technology. The Technology Position includes conducting ongoing gap analyses to ensure current standards align with technological advancements. The results of this gap analysis are available in the Catalog of Issues and Possible Actions. The Catalog is a living document that serves as the IAASB’s cross-functional repository for technology-related issues, informed by diverse sources, including stakeholder feedback and outreach activities. It will be considered for updating at least semi-annually, or more frequently as needed.
Learn more about the new Technology Position in its dedicated web page, which includes the Position, Catalog and other materials explaining the new forward-thinking approach.
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Technology: Quality Management
Updated June 2025
In June 2025, the IAASB launched a Technology Quality Management workstream with the objective to:
- Understand how firms and practitioners are applying ISQM 1, Quality Management For Firms That Perform Audits or Reviews of Financial Statements, or Other Assurance or Related Services Engagements, and ISA 220 (Revised), Quality Management for an Audit of Financial Statements, to emerging technologies used in audit and assurance engagements, particularly technological tools that are opaque and difficult to interpret.
- Determine whether additional support could facilitate using these technologies in a manner consistent with the public interest.
This workstream emerged from the possible actions associated with Theme 3 of the IAASB’s Catalog of Issues and Possible Actions, which highlighted a need for further information gathering about the intersection of quality management and emerging technologies.
The IAASB will undergo a six-month period of information gathering, culminating in a discussion of insights at the December 2025 IAASB meeting. At that time, the IAASB will consider whether non-authoritative materials will effectively support consistent and scalable application of the standards or if a compelling case exists for more formal standard-setting in targeted areas.