7. ISSAI 100 establishes fundamental principles which are applicable to all public-sector audit engagements, irrespective of their form or context. ISSAIs 200, 300 and 400 build on and further develop the principles to be applied in the context of financial, performance and compliance auditing respectively. They should be applied in conjunction with the principles set out in ISSAI 100. The principles in no way override national laws, regulations or mandates or prevent SAIs from carrying out investigations, reviews or other engagements which are not specifically covered by the existing ISSAIs.

8. The Fundamental Auditing Principles form the core of the General Auditing Guidelines at level 4 of the ISSAI framework. The principles can be used to establish authoritative standards in three ways:

  • as a basis on which SAIs can develop standards;
  • as a basis for the adoption of consistent national standards;
  • as a basis for adoption of the General Auditing Guidelines as standards.

SAIs may choose to compile a single standard-setting document, a series of such documents or a combination of standard-setting and other authoritative documents.

SAIs should declare which standards they apply when conducting audits, and this declaration should be accessible to users of the SAI’s reports. Where the standards are based on several sources taken together, this should also be stated. SAIs are encouraged to make such declarations part of their audit reports; however, a more general form of communication may be used.

9. An SAI may declare that the standards it has developed or adopted are based on or are consistent with the Fundamental Auditing Principles only if the standards fully comply with all relevant principles.

Audit reports may include a reference to the fact that the standards used were based on or consistent with the ISSAI or ISSAIs relevant to the audit work carried out. Such reference may be made by stating:

… We conducted our audit in accordance with [standards], which are based on [or consistent with] the Fundamental Auditing Principles (ISSAIs 100-999) of the International Standards of Supreme Audit Institutions.

In order to properly adopt or develop auditing standards based on the Fundamental Auditing Principles, an understanding of the entire text of the principles is necessary. To achieve this, it may be helpful to consult the relevant guidance in the General Auditing Guidelines.

10. SAIs may choose to adopt the General Auditing Guidelines as their authoritative standards. In such cases the auditor must comply with all ISSAIs relevant to the audit. Reference to the ISSAIs applied may be made by stating:

… We conducted our audit[s] in accordance with the International Standards of Supreme Audit Institutions.

In order to enhance transparency, the statement may further specify which ISSAI or range of ISSAIs the auditor has considered relevant and applied. This may be done by adding the following phrase:

The audit[s] was [were] based on ISSAI[s] xxx [number and name of the ISSAI or range of ISSAIs].

11. The International Standards on Auditing (ISAs) issued by the International Federation of Accountants (IFAC) are incorporated into the financial audit guidelines (ISSAIs 1000-2999). In financial audits reference may therefore be made either to the ISSAIs or to the ISAs. The ISSAIs provide additional public-sector guidance (’Practice Notes’), but the requirements of the auditor in financial audits are the same. The ISAs constitute an indivisible set of standards and the ISSAIs in which they are incorporated may not be referred to individually. If the ISSAIs or the ISAs have been adopted as the SAI’s standards for financial audits, the auditor’s report should include a reference to those standards. This applies equally to financial audits conducted in combination with other types of audit.

12. Audits may be conducted in accordance with both the General Auditing Guidelines and standards from other sources provided that no contradictions arise. In such cases reference should be made both to such standards and to the ISSAIs.


INTOSAI ref. Fundamental Principles of Public-Sector Auditing(pdf) (ISSAI-100).
#tagcoding hashtag: #issai100ii


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