Quality assurance policies
1. Professional Standards Compliance
- Policy Statement: The practice shall adhere to the CPA Code of Professional Conduct, Accounting Standards for Private Enterprises (ASPE), International Financial Reporting Standards (IFRS), and Auditing Standards as applicable. This includes maintaining up-to-date knowledge of changes in accounting and auditing standards.
- Implementation: Regular training sessions and updates for all personnel on the latest standards and ethical requirements. Subscription to professional updates and regulatory newsletters.
- Policy Statement: The practice must establish and maintain policies for the acceptance and continuance of client relationships and specific engagements, ensuring they are within the firm's expertise and can be conducted ethically.
- Implementation: Conducting due diligence before accepting new clients, including assessing potential conflicts of interest and the client's integrity. Regular review of existing clients to ensure continued compatibility with the firm's risk profile and ethical standards.
- Policy Statement: All engagements must be performed with professional competence and due care, ensuring adherence to applicable technical and professional standards.
- Implementation: Use of standardized working papers and methodologies for engagements. Regular engagement review by a peer or an external consultant to ensure compliance and quality.
- Policy Statement: The practice must maintain appropriate records of each engagement, including documentation that supports the work performed and conclusions reached.
- Implementation: Implementing secure, encrypted digital storage solutions for engagement documentation. Establishing a retention policy that meets or exceeds the minimum period required by law and professional standards.
- Policy Statement: The practice commits to ongoing professional development to maintain and enhance professional competence.
- Implementation: Annual training plans for all staff, including attendance at seminars, webinars, and conferences related to accounting and auditing standards, ethics, and specialized areas of service.
- Policy Statement: The practice shall identify, evaluate, and address threats to independence and objectivity, including conflicts of interest, in accordance with professional standards and ethical requirements.
- Implementation: Maintaining an up-to-date register of all client engagements and relationships that are reviewed regularly for potential conflicts of interest or independence threats. Implementing safeguards or declining engagements where independence or objectivity cannot be ensured.
- Policy Statement: The practice will establish a system of quality control designed to provide reasonable assurance that the firm and its personnel comply with professional standards and regulatory and legal requirements.
- Implementation: Appointment of a Quality Control Leader responsible for the development, implementation, and monitoring of quality control policies. Conducting annual internal reviews of practice-wide procedures and selected engagement files.
- Policy Statement: The practice is committed to timely addressing any complaints or allegations of non-compliance with professional standards or ethical requirements.
- Implementation: Establishing a formal process for receiving, investigating, and resolving complaints. Keeping records of complaints and actions taken as part of the quality control documentation.
- Policy Statement: The practice will undergo periodic external reviews as required by CPABC, including participation in the Practice Inspection Program and any other applicable reviews.
- Implementation: Preparing for external inspections by ensuring all practice policies are up-to-date and properly implemented. Reviewing past inspection reports and addressing any noted deficiencies.