IRBA Newsletter Issue 48

Issue 48 | October - December 2019 9 ETHICS USE OF THE REGISTERED AUDITOR DESIGNATION It has come to our attention that clarification is needed with regard to the use of the registered auditor (RA) designation when signing certain professional reports. RAs signing off on audit, review and other assurance reports are reminded of paragraph R115.6 SA in the IRBA Code of Professional Conduct (Revised November 2018) (IRBA Code), which states the following: ‘R115.6 SA The individual registered auditor responsible for the audit, review or other assurance engagement shall, when signing any audit, review or other assurance report or certificate, reflect the following: (a) the individual registered auditor’s full name; (b) if not a sole proprietor, the capacity in which they are signing; (c) the designation ‘Registered Auditor’ underneath their name; and (d) if not set out on the firm’s letterhead, the name of the registered auditor’s firm.’ The effect of this requirement is that all RAs, irrespective of their registration status with the IRBA, must fulfill all the requirements of R115.6 SA; and, in particular, RAs may not omit or substitute their designation as an RA (as per R115.6 SA (b)) with any other professional designation. The IRBA Code does not differentiate whether an RA’s registration status with the IRBA is assurance or non-assurance. Thus, paragraph R115.6 SA applies equally to RAs who are registered as non-assurance. RA’s Assurance/Non-Assurance Status It is important that RAs ensure that the IRBA has their correct status on record. All RAs are asked in their Individual Annual Returns whether they perform assurance work. If an RA answers “no” to this question, their status will reflect as non-assurance in the IRBA register. However, if it is subsequently established that the RA is in fact performing assurance work, then that RA may be subject to a disciplinary investigation by the IRBA. How to Change Your Assurance Status In the event of an assurance status change, it is incumbent upon each RA to take the necessary steps and request a status change, regardless of when this occurs. Requests to change an assurance status may be made at any time during the year. Please do not wait until the submission of the Individual Annual Return to request a change in status. If you wish to change your status, please refer to the relevant page on the IRBA website ; or contact Registry at registry@irba.co.za . INTERNATIONAL ETHICS STANDARDS BOARD FOR ACCOUNTANTS IESBA Projects in Progress • Non-assurance services; • Fees; • Technology; • Alignment of Part 4B of the Code and ISAE 3000 (Revised); • Definition of PIE and Listed Entity; and • IAASB-IESBA Coordination. More information on these projects is available on the IESBA website . Should you have any further queries, please send an email to standards@irba.co.za . Imran Vanker Director Standards Telephone: (087) 940-8838 Fax: (086) 575-6535 E-mail: standards@irba.co.za