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Updates: Auditing and Assurance on Virtual Assets-Related Matters |
The Institute is pleased to provide an update following Alert 51: |
- Virtual Asset Trading Platforms (VATPs):
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Following careful consideration and discussions with relevant parties, it has been determined that there is no immediate need to develop guidance for auditor pre-licensing assessments of VATPs. The Institute will continue to monitor market and regulatory developments to ensure that auditors are adequately supported. |
- Upcoming guidance (1H 2026):
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Work is currently in progress on two key resources: |
- Guidance for auditors’ independent attestations on licensed stablecoin issuers; and
- A guide for auditors of virtual asset-related businesses, designed to highlight common challenges and incorporate relevant guidance from overseas accounting and auditing bodies.
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Invitation to comment |
The Institute is seeking comments on the following consultation documents: |
(i) Tentative agenda decisions published by the International Financial Reporting Standards (IFRS) Interpretations Committee by 2 January 2026: |
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(ii) International Accounting Standards Board (IASB) Exposure Draft Risk Mitigation Accounting – Proposed amendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments – Disclosures by 1 June 2026. The ED package, comprising the IASB’s detailed proposals, basis for conclusions, illustrative examples and implementation guidance, along with a snapshot providing a high-level summary of the proposals, is available on the Institute’s website. |
Reminder: Live webinar on Year-end Financial Reporting Reminders for 2025 |
Join the upcoming live webinar on 12 January 2026 to get well prepared for the year-end closing of 2025. The webinar will cover: |
- HKFRS Accounting Standards/Amendments that are effective in 2025 and beyond;
- IFRS Interpretations Committee agenda decisions that are relevant to Hong Kong;
- Common application issues identified by regulators; and
- Other issues relevant for closing out 2025.
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E-learnings: archived webinars on financial reporting |
The Institute hosted the following live webinars on financial reporting recently. These sessions have been archived for member access. Enrol now if you missed any of these webinars. |
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The Institute’s Financial Reporting Standards Committee meeting minutes |
Minutes of the November 2025 meeting is now available. |
IASB December 2025 podcast and update |
The IASB podcast, highlighting preliminary decisions of the IASB at its December meeting, and a summary of the December meeting, are now available. |
IFRS Interpretations Committee November 2025 Update |
The IFRS Interpretations Committee Update provides a summary of discussions at its November 2025 meeting. |
Educational resources for the IFRS for SMEs Accounting Standard |
To support SMEs in applying the third edition of the IFRS for SMEs Accounting Standard, the IFRS Foundation has published a suite of educational resources designed to help stakeholders learn, implement and apply the Standard. These resources are also relevant for entities applying the revised HKFRS for Private Entities Accounting Standard, issued by the Institute in April, which aligns with the third edition of the IFRS for SMEs Accounting Standard published by the IASB. |
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Highlights from the IAASB December meeting |
The IAASB's December meeting included important discussions and approvals regarding its major projects: |
- ISA for LCE: The maintenance approach focuses on public-interest issues and proportionate updates to ensure the standard continues to meet its objectives.
- ISA 540 (Revised), Auditing Accounting Estimates and Related Disclosures: A post-implementation review survey is set to launch in January 2026 to explore the benefits, challenges, and impact of the standard.
- Strategy and Work Plan Stakeholder Survey: Conducted jointly with the International Ethics Standards Board for Accountants (IESBA) in late January 2026, this survey will inform the 2028–2031 strategy and work plan. It will focus on positioning, environmental trends, and coordination.
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To learn more about the meeting, read the highlights prepared by the IAASB staff. |
IAASB meeting minutes |
Minutes of the 150th meeting are now available. |
A retrospective with the outgoing IAASB Vice Chair |
In an 11-minute interview, IAASB Principal Ana Espinal-Rae speaks with outgoing Vice Chair Josephine Jackson, who reflects on her time with the IAASB as she prepares to conclude her term at year-end. Highlights from the interview: |
- The IAASB’s collective impact on strengthening and modernizing the global assurance framework.
- A transformative period for the IAASB, covering advancements in quality management, group audits, and sustainability assurance.
- The importance of global collaboration and adaptable, principles-based standards.
- Key IAASB milestones, including the modernization of quality management and the reframing of group audits.
- The IAASB’s collaborative and rigorous culture, deeply rooted in the public interest, with leadership highlighted by Chair Tom Seidenstein.
- Advice for future IAASB members as the IAASB continues its work on technology, sustainability, and evolving assurance needs.
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The Institute’s Auditing and Assurance Standards Committee meeting |
Minutes of the 429th meeting are now available. |
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Key takeaways from the IESBA December meeting |
In a video shared on social media, Gabriela Figueiredo Dias, Chair of the IESBA, reflects on the outcomes of the Board’s December meeting, highlighting several meaningful approvals that will shape future work and stakeholder engagement. Key takeaways include: |
- Approval of the IESBA viewpoints on Firm Culture and Governance, which will guide stakeholder engagement as the Board considers a potential future framework. A new partnership framework will be advanced to support institutions around the world in strengthening ethics-related capacity.
- A decision to develop guidance in 2026 to support audits of Collective Investment Vehicles and Pension Funds.
- In collaboration with the IAASB, the Board approved a global survey to gather stakeholder perspectives on emerging trends and challenges, which will inform IESBA’s next strategy.
- Introduction of the “Simplicity, Mobilization, Adoption, Responsiveness, and Targeted Action” (SMART) Framework — a practical tool designed to strengthen clarity, focus, and responsiveness in how the IESBA supports adoption and implementation.
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HKICPA ethics resource centre |
Access resources and publications at the Institute’s Resource Centre to the Code where you can stay informed about the latest ethics pronouncements. Watch this video to learn how to easily access these valuable resources. |
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Share your feedback on the IESBA's Global Ethics Sustainability Standards |
As part of the IESBA's commitment to supporting the implementation of the International Ethics Standards for Sustainability Assurance (IESSA) and the broader suite of global ethics sustainability standards, the global standards-setting board has established a feedback mechanism to gather implementation insights. This online submission form will collect insights from practitioners, firms, and other stakeholders on the application of the IESSA and related ethics standards in sustainability assurance engagements. |
ISSB issues targeted amendments to IFRS S2 to support implementation |
The International Sustainability Standards Board (ISSB) has issued targeted amendments to greenhouse gas (GHG) emissions disclosure requirements in IFRS S2 Climate-related Disclosures in response to specific application challenges that were identified as companies started to apply the Standard. The amendments are based on feedback from the ISSB’s consultation earlier in the year. These changes provide relief and clarification to support companies in applying the Standard, while keeping investor information needs in focus and minimizing disruption to jurisdictions that are in the process of adopting or otherwise using ISSB Standards. The amendments are effective for reporting periods beginning on or after 1 January 2027, with early application permitted. Additionally, the ISSB has issued consequential amendments to align financed emissions metrics in three SASB Standards with the corresponding amended requirements in IFRS S2. |
ISSB December 2025 podcast & update |
In this podcast, the ISSB Chair and Vice-Chair share reflections on 2025—from progress in the global adoption of ISSB Standards, how the ISSB is providing implementation support and progress to build out the global baseline. In addition, a summary of the December 2025 meeting is now available. |
HKFRS S1 and S2 implementation platform |
You are welcome to submit technical questions related to the implementation of HKFRS S1 and S2. Questions that meet the submission criteria will be considered for discussion at the upcoming meeting. |
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Exchange presents results of annual review of issuers’ annual reports, corporate governance reports and environmental, social and governance reports |
On 11 December 2025, the Stock Exchange of Hong Kong Limited (Exchange) presented a report on the findings and recommendations of its annual review of issuers’ annual reports, as well as issuers’ corporate governance, and environmental, social and governance reports for the 2024 financial year. The reviews are published in a combined report, with the aim of providing issuers with a single point of reference to facilitate them in discharging their reporting obligations and enhancing governance. |
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ORO’s letter regarding support following the fire at Wang Fuk Court |
The Official Receiver’s Office (ORO) has issued a letter for the attention of insolvency practitioners, acknowledging that some bankrupts, debtors and other stakeholders affected by the tragic fire at Wang Fuk Court may face challenges in fulfilling their statutory obligations or engaging in ongoing insolvency proceedings. Insolvency practitioners are urged to exercise their professional judgment and treat these cases with flexibility and compassion. Further details and examples of possible actions that may be taken are contained in the letter. |
Implementation of the iCMS for civil action cases of the HC |
Following the implementation of the integrated Court Case Management System (iCMS) to cover civil appeal cases in the Court of Appeal of the High Court (HC) and commercial cases, construction and arbitration cases, intellectual property cases and personal injuries cases in the Court of First Instance of the HC (CFI), the Judiciary Administration has issued a further letter to the Institute, advising that iCMS has been extended to cover civil action cases in the CFI, effective 19 December 2025. Insolvency practitioners, members, and court users can refer to the relevant Implementation Notice and the Judiciary’s dedicated webpage for user guides, demonstration videos clips, and answers to frequently asked questions, etc. |
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Announcements by the Inland Revenue Department |
Members may wish to be aware of the following matters:
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Announcements by the government |
Members may wish to be aware of the following matters:
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Anti-money laundering (AML) notices and news |
AML notices:
- For the current lists of terrorists, terrorist associates and relevant persons/ entities under United Nations sanctions, members should refer regularly to the Institute's AML webpage. Other useful documents and guidance can also be found on the same page.
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Publications from other organizations: |
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