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IAASB Releases New FAQ for the ISA for LCE

Jun 30, 2025 | New York, New York | English

The International Auditing and Assurance Standards Board (IAASB) has published a new Frequently Asked Questions document for the International Standard on Auditing for Audits of Financial Statements of Less Complex Entities (ISA for LCE), its standard tailored for financial audits of smaller and less complex entities. This new FAQ addresses common questions received during webinars and outreach following the standard’s publication in December 2023, offering timely and practical clarifications. It also replaces a previously issued FAQ.

This release represents the final planned component of the IAASB’s implementation support package for the ISA for LCE, complementing the previously released adoption guide, fact sheet, first-time implementation guide, and other supplemental materials. Together, these resources provide a comprehensive suite of tools to support effective implementation.

The IAASB remains committed to supporting the adoption and implementation of the ISA for LCE through continued outreach and engagement with stakeholders, as well as with global and jurisdictional regulators.

While the FAQ does not amend or override the authoritative text of the ISA for LCE, it serves as a helpful tool to support consistent understanding and application of the standard.

Explore the guide and additional resources at: www.iaasb.org/ISAforLCE.

About the ISA for LCE
Built on the foundation of the International Standards on Auditing (ISAs), the International Standard on Auditing for Audits of Financial Statements of Less Complex Entities, or the ISA for LCE, is proportionate and tailored to the specific needs of audits of less complex entities. Its streamlined approach enhances usability for practitioners performing these engagements.

About IAASB
The International Auditing and Assurance Standards Board develops auditing, assurance, related services, and quality management standards and guidance in the public interest that support consistent performance of quality engagements. Along with the International Ethics Standards Board for Accountants, the IAASB is part of the International Foundation for Ethics and Audit. The Public Interest Oversight Board oversees IAASB and IESBA activities and the public interest responsiveness of the standards. For copyright, trademark, and permissions information, please visit Permissions.