An outline of the changes to the Code of Ethics issued by IESBA.
The International Ethics Standards Board for Accountants (IESBA) is one of the standard setting boards of the International Federation of Accountants. IESBA issues ethical standards for use by professional accountants and its member bodies.
(IESBA) has issued changes to its code of ethics (changes which ICAEW will have to apply in due course) relating to the potential overriding of confidentiality when a suspected illegal act is discovered. If not addressed internally in an appropriate manner, members should assess if disclosure to a third party is necessary in the public interest.
IESBA has issued a number of changes to the IESBA code requirements on conflicts of interest and addressing breaches of the code. It has also revised a number of minor aspects of the auditor independence requirements of s290. The changes do not change underlying requirements substantially but will be adopted by ICAEW in due course.
The IESBA has issued a revised definition of what constitutes a network in its Code of Ethics. The revised principles-based definition, which is consistent with the Statutory Audit Directive, focuses on how groups of firms operate and present themselves. The independence requirements that apply to networks are not changed.