The IESBA published the Benchmarking International Independence Standards Phase 1 Report: Comparison of IESBA and the U.S. SEC/ PCAOB frameworks to promote awareness and further adoption of the Code. The reportdetails the findings of a study comparing the independence provisions of the Code applicable to audits of financial statements of public interest entities (PIEs) with the relevant rules of the U.S. Securities and Exchange Commission (U.S. SEC) and the US Public Company Accounting Oversight Board (PCAOB). Without making judgements as to the relative merits of the two independence frameworks, the report highlights the similarities and key differences between the Code and the U.S. SEC and PCAOB rules in areas of greatest interest to stakeholders, including the permissibility of non-assurance services to audit clients, fees, long association with an audit client, and business and financial relationships. The IESBA will consider the findings of the benchmarking analysis in developing its 2024-2027 Strategy and Work Plan.
Alongside the detailed report, an abridged report is also published to provide an overview of the main similarities and differences, as well as an additional publication with further information on the background and objectives of the initiative.
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