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Important Measures

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Important Measure June 2022

1.FSC Releases Guidance on the Audit Quality Indicators (AQIs), Encourages TWSE and TPEx Listed Companies to Refer to the AQI Information When Selecting the Independent Auditors for Their 2023 Financial Reports, to Enhance the Quality of Financial Reporting
     To enhance the quality of financial report information, the Financial Supervisory Commission (FSC) released “Audit Quality Indicator (AQI) Disclosure Framework and Template”, which set out 13 indicators covering five scopes—professionalism, quality control, independence, monitoring, and creativity on 19 August of last year (2021). The FSC is promoting the AQI initiative by a two-stage approach. In the first stage, this initiative will apply to the Big Four CPA firms. The FSC has reached a consensus with the Big Four that they will voluntarily provide the AQI information to TWSE and TPEx listed companies’audit committees from the time of the appointment of CPAs for 2023 financial reporting and on an annual basis thereafter. This information will enable the audit committees to better assess the quality of the auditors that the companies appoint or reappoint. 
     To help audit committees interpret the AQI information, the FSC on 29 June 2022 released “Guidance for Audit Committees on Interpreting the Audit Quality Indicators” to boost their understanding of the key focuses of the indicators and the relationship between each AQI and audit quality. Meanwhile, to ensure the consistency and comparability of the AQI data, the FSC at the same time also issued “Guidance for CPA Firms on Preparing the Audit Quality Indicators”. This Guidance expressly defines and explains the calculation of each of the AQIs, as a basis for the preparation of the AQI information.
Visitor: 938   Update: 2022-10-14