Independent Regulatory Board for Auditors PO Box 8237, Greenstone, 1616 Johannesburg

This South African Auditing Practice Statement (SAAPS) 3 (Revised March 2024), Illustrative Reports , was prepared by the Independent Regulatory Board for Auditors' (IRBA) Committee for Auditing Standards and approved for issue in March 2024. SAAPS 3 (Revised March 2024) is aimed at providing practical guidance to registered auditors who report on financial statements, both for compliance with the International Standards on Auditing (ISAs) or the International Standards on Review Engagements (ISREs), as applicable, as well as the legal and regulatory requirements applicable to auditors and auditor reporting in South Africa, as related to the content and format of the auditor's report. For the purposes of this SAAPS 3 (Revised March 2024), the main legal and regulatory requirements addressed are the Auditing Profession Act 26 of 2005, as amended (APA); the IRBA Rule: Disclosure of Audit Tenure, published in Government Gazette No. 39475 of 4 December 2015, and the IRBA Rule: Enhanced Auditor Reporting Requirements, published in Government Gazette No. 49309 of 15 September 2023 (pursuant to Sections 9 and 10, read with Sections 1, 2 and 3 of the APA (collectively the IRBA Rules); the Companies Act No. 71 of 2008, as amended (Companies Act of South Africa); and the Public Audit Act No. 25 of 2004 (PAA). Reading this SAAPS 3 (Revised March 2024) is not a substitute for reading and applying the ISAs, the ISREs, the APA, the IRBA Rules, the Companies Act of South Africa and the PAA. SAAPS 3 (Revised March 2024) has been updated to incorporate the IRBA Rule on Enhanced Auditor Reporting (EAR) for the Audit of Financial Statements of Public Interest Entities (PIEs) (EAR Rule) into the illustrative reports. The EAR Rule prescribes additional disclosures in the independent auditor's report on the audit of annual financial statements of PIEs, as defined in the IRBA Code of Professional Conduct for Registered Auditors (IRBA Code). The IRBA Board approved the EAR Rule at its meeting on 29 May 2023. This followed the rule's exposure in the Government Gazette (Board Notice 309 of 2022), in accordance with Section 10 of the APA, in July 2022. Then, the final EAR Rule was gazetted in September 2023 (Board Notice 475 of 2023) and is effective for audits of financial statements for periods ending on or after 15 December 2024, with early adoption permitted. It is available on the IRBA website. The final EAR Rule was published together with Staff Audit Practice Alert 9: IRBA Rule on Enhanced Auditor Reporting for the Audit of Financial Statements of Public Interest Entities (Staff Alert 9). This Staff Alert provides non-authoritative guidance on how auditors may apply the EAR Rule. The following amendments have also been incorporated into this SAAPS 3 (Revised March 2024):

- • of the extant options in the Basis of Opinion paragraph that accommodated the • of the extant options in the Basis of Opinion paragraph that accommodated the different effective dates of Parts 1, 3, 4A and 4B of the IRBA Code, as the transitional period has passed - practically reverting to the option for periods going forward (for audits of financial statements for financial periods beginning on or after 15 June 2019).
- • of the conforming and consequential amendments to ISA 700 (Revised), • of the conforming and consequential amendments to ISA 700 (Revised), Forming an Opinion and Reporting on Financial Statements , arising from ISA 600 (Revised), Special Considerations - Audits of Group Financial Statements (Including the Work of Component Auditors) (ISA 600 (Revised) ) - specifically replacing all references to ISA 600 with ISA 600 ( Revised ) and incorporating changes to the Auditor's Responsibilities paragraph, the sub-bullet where the auditor addresses their responsibilities in the context of a group audit.