IRBA: Reminder re Recently Effective Auditing Pronouncements, QM Rules and Adopted Standards

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IRBA: Reminder re Recently Effective Auditing Pronouncements, QM Rules and Adopted Standards

• 03 February 2026
• Audit
• South African Accounting Academy

Summary:
The Independent Regulatory Board for Auditors’ (IRBA) Standards Department has reminded registered auditors and other stakeholders about the auditing pronouncements, quality management rules and revised auditing standards that recently became effective and have been adopted.

Article:

These changes may affect audit firms’ audit methodologies, reporting templates and internal quality management processes.

These changes apply to certain sections of the IRBA Reporting Templates, the IRBA Rules and the IRBA Pronouncements, including:

• Reporting templates that support the implementation of Narrow Scope Amendments to International Standard on Auditing (ISA) 700 (Revised), Forming an Opinion and Reporting on Financial Statements, as a result of the Revisions to the IRBA Code of Professional Conduct for Registered Auditors that Require a Firm to Publicly Disclose When a Firm Has Applied the Independence Requirements to Public Interest Entities (PIEs):
  • South African Auditing Practice Statement (SAAPS) 3 (Revised September 2025), Illustrative Reports – effective for audits or independent reviews of financial statements for periods ending on or after 15 December 2024
  • Medical Schemes Returns: Effective date – Audits of financial statements for periods beginning on or after 15 December 2024. For audits of medical schemes that are PIEs, the changes made as a result of the Enhanced Auditor Reporting (EAR) Rule became effective for audits of financial statements for periods ending on or after 15 December 2024.
    • Revised Illustrative Auditor’s Reports on Financial Statements of Medical Schemes (ISA 700(Revised) Reports): Appendix 5 in the Revised Guide for Registered Auditors: Assurance Engagements on the Annual Financial Statements and Annual Statutory Returns of a Medical Scheme
    • Parts 4 to 10 of the Medical Schemes Annual Statutory Returns (Combined ISA 800 (Revised)and International Standard on Review Engagements 2410 Reports): Appendix 6 in the Revised Guide for Registered Auditors: Assurance Engagements on the Annual Financial Statements and Annual Statutory Returns of a Medical Scheme
  • Bank Returns: Effective Date – Audits of financial statements for periods beginning on or after 15 December 2024. 
    • Statutory Returns of Mutual Banks in terms of Regulation 6 of the Mutual Banks Act
    • Statutory Returns of Banks in terms of Regulation 46 of the Banks Act – SA Reports
    • BA 610 Statutory Returns of Banks in terms of Regulation 46 of the Banks Act – Foreign Reports
  • Insurer QRTs: Effective Date – The revised illustrative report template for Annual Group QRT of Insurance Groups is effective immediately. All the other revised illustrative report templates are effective for financial year-ends beginning on or after 15 December 2024. 
    • Annual Quantitative Reporting Template (QRT) of Solo Insurers
    • Annual QRT of Branches of Foreign Reinsurers
    • Annual QRT of Microinsurers
    • Annual Group QRT of Insurance Groups
• IRBA Rules 1-3 of the IRBA’s Four Rules Arising from the International Standards on Quality Management: Effective date - Audits of financial statements for periods beginning on or after 15 December 2025, with early adoption permitted.
  • Rules:
    • Rule 1: Ultimate Responsibility and Accountability for the System of Quality Management
    • Rule 2: Transparency Reports
    • Rule 3: Engagement Quality Reviewer (EQR) and an Assistant to an EQR
  • Implementation Material: Effective Date – Transparency reports prepared and published on or after 15 December 2025. 
    • SAAPS 7, Transparency Reports of Firms that Audit Financial Statements of Publicly Traded Entities Audit Engagements
• IRBA has recently adopted the following ISAs and the related conforming and consequential amendments:
  • ISA 570 (Revised 2024), Going Concern; and
  • ISA 240 (Revised), The Auditor’s Responsibilities Relating to Fraud in an Audit of Financial Statements.
    • These two standards are effective for audits of financial statements for periods beginning on or after 15 December 2026.
    • The IRBA, however, aligns with the International Auditing and Assurance Standards Board’s view that the early adoption of an individual standard may result in inconsistencies and potential confusion in the marketplace, particularly where auditor’s reports relate to the same or similar reporting periods. Accordingly, should early adoption be considered, the IRBA recommends that the related revisions on Going Concern, Fraud, and Narrow Scope Amendments to the ISQMs, ISAs, and ISRE 2400 (Revised) as a Result of the Revisions to the Definitions of Listed Entity and Public Interest Entity in the IESBA Code (PIE Track 2) should preferably be adopted together as a complete package, rather than on a piecemeal basis.

Click here to access all the relevant links to download individual documents:

https://www.irba.co.za/upload/01_%202026%20Standards%20Omnibus.pdf

Relevance to Auditors, Independent Reviewers & Accountants:

• As an auditor and independent reviewer, you need to comply with International Standards on Auditing and other Assurance Services, and thus you need knowledge of proposed as well as newly revised standards, rules and guidelines that are approved as well as when they become effective.
• Failure to adhere to ISAs may be interpreted as negligence and you could be held liable.
• As an auditor and independent reviewer, you should be aware of proposed changes to existing standards, rules and guidelines issued by the standard-setting bodies and adopted by regulators, e.g. the IRBA.
• These changes may affect audit firms’ audit methodologies, reporting templates and internal quality management processes.

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