Document ID: chunk:federal_register_of_legislation:F2023C01140:reg:39:p32
Version: federal_register_of_legislation:F2023C01140
Segment Type: reg
Provision Reference: reg 39 (pt 32/53)
Character Range: 99093–102160

additional explanation in the auditor's report can mitigate possible misunderstanding.

If the auditor concludes that additional explanation in the auditor's report cannot mitigate possible misunderstanding, ASA 210 requires the auditor not to accept the audit engagement, unless required by law or regulation to do so.  In accordance with ASA 210, an audit conducted in accordance with such law or regulation does not comply with Australian Auditing Standards.  Accordingly, the auditor does not include any reference in the auditor's report to the audit having been conducted in accordance with Australian Auditing Standards.[40]

Considerations specific to public sector entities

A75.         Auditors of public sector entities may also have the ability pursuant to law or regulation to report publicly on certain matters, either in the auditor's report or in a supplementary report, which may include information that is consistent with the objectives of ASA 701.  In such circumstances, the auditor may need to tailor certain aspects of the communication of key audit matters in the auditor's report required by ASA 701 or include a reference in the auditor's report to a description of the matter in the supplementary report.

Auditor's Report for Audits Conducted in Accordance with Both Auditing Standards of a Specific Jurisdiction and Australian Auditing Standards  (Ref: Para. 51)

A76.         The auditor may refer in the auditor's report to the audit having been conducted in accordance with both Australian Auditing Standards as well as the other auditing standards when, in addition to complying with the relevant other auditing standards, the auditor complies with each of the Australian Auditing Standards relevant to the audit.[41]

A77.         A reference to both Australian Auditing Standards and the other auditing standards is not appropriate if there is a conflict between the requirements in the Australian Auditing Standards and those in the other auditing standards that would lead the auditor to form a different opinion or not to include an Emphasis of Matter or Other Matter paragraph that, in the particular circumstances, is required by the Australian Auditing Standards.  In such a case, the auditor's report refers only to the auditing standards (either Australian Auditing Standards or the other auditing standards) in accordance with which the auditor's report has been prepared.

Supplementary Information Presented with the Financial Report (Ref: Para. 53–54)

A78.         In some circumstances, the entity may be required by law, regulation or the Australian Auditing Standards, or may voluntarily choose, to present together with the financial report supplementary information that is not required by the applicable financial reporting framework.  For example, supplementary information might be presented to enhance a user's understanding of the applicable financial reporting framework or to provide further explanation of specific financial statement items.  Such information is normally presented in either supplementary