Professional skepticism and inquiring mind

08 June 2022
Accounting
South African Accounting Academy

Professional Skepticism. Inquiring Mind. Critical Thinking. These are all discussions and concepts that are pervasive across the standards that guide the accountancy profession.

The International Code of Ethics for Professional Accountants (including the International Independence Standards, which was revised in October 2020 to promote professional accountants’ role and mindset and the International Education Standards (IESs).
The IESs were revised in December 2019 to address information and communications technology and professional skepticism learning and development.
The concept of professional skepticism lies at the heart of a quality audit as part of the IAASB’s International Standards on Auditing (ISAs) and other assurance standards.

These concepts are interlinked and connected to how professional accountants behave, the skills they apply and the professional judgments they make during the course of each working day.

Click here to access the Article:

https://www.ifac.org/knowledge-gateway/supporting-international-standards/discussion/professional-skepticism-and-inquiring-mind-connecting-standards?utm_source=Main+List+New&utm_campaign=8654895472-EMAIL_CAMPAIGN_2022_04_05_12_54&utm_medium=email&utm_term=0_c325307f2b-8654895472-80719200

Relevance to Auditors, Independent Reviewers & Accountants:

It is important to maintain these skills and consider the application to new areas as needed.
As the profession moves into digital areas and providing sustainability-related services, the importance of having an inquiring mind and of applying skills and competences that involve exercising professional skepticism will continue to be vital.
It is incumbent on each professional accountant to have the necessary skills to ask the right questions and challenge in the right areas.
By continuing to develop and maintain these skills, as required by IES 7, it can also help professional accountants to work in constantly changing environments.
- For example, the COVID-19 pandemic forced many professional accountants (and their employers and clients) to switch to working in a completely virtual environment leading to developing newer skills, such as virtual collaboration, the ability to apply critical thinking skills to help with problem-solving in a fast changing and uncertain environment, and flexing existing skills, such as professional skepticism, when all information was provided virtually.

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