Overview of Statutory Framework for Auditing and Assurance
- Release date / 2020-03-20
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The Company Act, as specified by the Ministry of Economic Affairs (MOEA), requires all companies (The companies with less than NT$30 million in the value of common stock, with less than NT$100 million in net operating revenue or with less than 100 active employees joining labor insurance are exempted since 2019) , who engage Certificated Public Accountants (CPAs) to audit or attest financial statements shall do so in accordance with the Regulations Governing Auditing and Attestation of Financial Statements by Certified Public Accountants. Matters not provided herein shall be subjected to generally accepted auditing standards (GAAS) in R.O.C, which is converged with International Standards on Auditing (ISA). GAAS in R.O.C. is developed and issued by ARDF under the authority of the Securities and Future Bureau (SFB).
The Act sets additional requirements for public companies. These requirements are regulated by the SFB of the Financial Supervisory Commission (FSC) and are supplemented by the provisions of Regulations Governing Approval of Certified Public Accountants to Audit and Attest to the Financial Reports of Public Companies.
◤Company Act：(2018/8/1)
https://law.moj.gov.tw/ENG/LawClass/LawAll.aspx?pcode=J0080001
◤Regulations Governing Auditing and Attestation of Financial Statements by Certified Public Accountants issued by FSC：(2019/1/24)
https://law.moj.gov.tw/Eng/LawClass/LawAll.aspx?PCode=G0400068
◤Regulations Governing Auditing and Attestation of Financial Statements by Certified Public Accountants issued by MOEA：(2015/11/30)
GAAS issued by ARDF：
ARDF：The goal of this foundation was to enhance our nation’s accounting and auditing standards through the stipulation of financial accounting standards and auditing standards by a fair and independent institute, and to aggressively promote accounting educational training.