Document ID: chunk:federal_register_of_legislation:F2023C01132:reg:23:p22
Version: federal_register_of_legislation:F2023C01132
Segment Type: reg
Provision Reference: reg 23 (pt 22/23)
Character Range: 71003–73998

auditor of related parties or significant related party transactions, which may alert those charged with governance to significant related party relationships and transactions of which they may not have been previously aware.

           * The identification of significant related party transactions that have not been appropriately authorised and approved, which may give rise to suspected fraud.

           * Disagreement with management regarding the accounting for and disclosure of significant related party transactions in accordance with the applicable financial reporting framework.

           * Non‑compliance with applicable law or regulation prohibiting or restricting specific types of related party transactions.

           * Difficulties in identifying the party that ultimately controls the entity.
[*]  Early adoption, in conjunction with ASA 315 Identifying and Assessing the Risks of Material Misstatement, permitted.
[1] See ASA 315 Identifying and Assessing the Risks of Material Misstatement through Understanding the Entity and Its Environment.
[2] See ASA 330 The Auditor's Responses to Assessed Risks.
[3] See ASA 240 The Auditor's Responsibilities Relating to Fraud in an Audit of a Financial Report.
[4] See ASA 240, paragraph 24.
[5] See ASA 200 Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Australian Auditing Standards, paragraph A52.
[6] See ASA 200, paragraph 15.
  See, for example, section 228 of the Corporations Act 2001.
[7] See ASA 315, paragraph 13; and ASA 240, paragraph 17.
[8] See ASA 315, paragraph 17; and ASA 240, paragraph 16.
[9] See ASA 315, paragraph 28.
[10] See ASA 330, paragraphs 5-6.
[11]  See ASA 240, paragraph 33(c).
[12]  See ASA 700 Forming an Opinion and Reporting on a Financial Report, paragraphs 10-15.
[13]   See ASA 260 Communication with Those Charged with Governance, paragraph 13.
  See ASA 705 Modifications to the Opinion in the Independent Auditor's Report.
[14]   See ASA 230 Audit Documentation, paragraphs 8-11, and paragraph A6.
[15] See ASA 200, paragraph 13(a), which defines the meaning of fair presentation and compliance frameworks.
[16] See ASA 210 Agreeing the Terms of Audit Engagements, paragraph 6(a).
[17] See ASA 700, paragraph A12.
[18]  See ASA 315, paragraphs A68-A70, which provide guidance regarding the nature of a special-purpose entity.
[19] See ASA 600 Special Considerations—Audits of a Group Financial Report (Including the Work of Component Auditors), paragraph 32(b).
[20] See ASA 200, paragraph A2.
[21] See ASA 315, paragraph 21.
[22] See ASA 705 Modifications to the Opinion in the Independent Auditor's Report.
[23] See ASA 240, paragraphs 31 and A4.
[24]  See ASA 240, Appendix 1.
[25] See ASA 330, which provides further guidance on considering the nature, timing and extent of further audit procedures.  ASA 240 establishes requirements and provides guidance on appropriate responses to assessed risks of material misstatement due