Accountants (Public Accountants) Rules - Singapore Statutes Online

Accountants Act

(CHAPTER 2, Section 64)

Accountants
(Public Accountants)
Rules

R 1

G.N. No. S 164/2004

REVISED EDITION 2006

(30th November 2006)

[1st April 2004]

PART I

PRELIMINARY

Citation

1. These Rules may be cited as the Accountants (Public Accountants) Rules.

Definitions

2. In these Rules, unless the context otherwise requires —

“accounting entity” means an accounting corporation, an accounting firm or an accounting LLP;

“audit engagement” means a reasonable assurance engagement in which a public accountant expresses an opinion whether financial statements are prepared, in all material respects (or give a true and fair view or are presented fairly, in all material respects), in accordance with an applicable financial reporting framework;

[S 51/2015 wef 01/02/2015]

“audit management role” means managing an audit engagement, and includes performing any key audit function;

[S 51/2015 wef 01/02/2015]

“audit principal” has the meaning assigned by rule 6A(1);

[S 51/2015 wef 01/02/2015]

[S 329/2023 wef 01/07/2023]

“audit quality review role” means any of the following roles:

(a)

assessing or reviewing the quality of an audit engagement performed for an accounting entity, the Authority or a professional accountancy body or organisation in Singapore;

(b)

carrying out an audit inspection under —

(i)	a practice monitoring programme for the Authority; or
(ii)	another similar programme for a professional accountancy body or organisation in Singapore; [S 329/2023 wef 01/07/2023]

(c)

carrying out a quality control standards review for the Authority, or a similar review for a professional accountancy body or organisation in Singapore;

[S 51/2015 wef 01/02/2015]

[S 329/2023 wef 01/07/2023]

“audit technical role” means the role of performing technical audit or accounting consultation by a person in an accounting entity who —

(a)	holds at least a managerial position in the accounting entity; and
(b)	reports directly to a partner of an accounting firm or an equivalent person in any other accounting entity; [S 51/2015 wef 01/02/2015]

[Deleted by S 329/2023 wef 01/07/2023]

“engagement partner”, “engagement quality review”, “engagement quality reviewer” and “engagement team” have the meanings given by the Glossary in the Fourth Schedule to the Accountants (Prescribed Standards and Code of Professional Ethics) Order 2023 (G.N. No. S 327/2023);

[S 329/2023 wef 01/07/2023]

“foreign audit entity” means a body that —

(a)	is incorporated, formed or established in a country or territory outside Singapore; and
(b)	is licensed or registered in a country or territory outside Singapore to audit financial statements; [S 696/2020 wef 21/08/2020]

“foreign auditor” means an individual who is licensed or registered to audit financial statements in a country or territory outside Singapore by or on behalf of the regulator of the audit profession in that country or territory;

[S 696/2020 wef 21/08/2020]

“hot review order” means an order imposed by the Oversight Committee on a public accountant (A) under section 38(1)(b) or (2)(b)(iii) or 52(2)(f) or (g) of the Act, requiring A to seek the services of another public accountant, who is approved by the Authority (B), for B to review one or more audit engagements undertaken by A before A may issue an audit opinion for these audit engagements as the engagement partner;

[S 51/2015 wef 01/02/2015]

[S 696/2020 wef 21/08/2020]

[S 329/2023 wef 01/07/2023]

“key audit function” means any of the following functions performed in relation to an audit engagement:

(a)

planning functions, namely —

(i)	reviewing and forming conclusions on the acceptance and continuation of any client relationship concerning the audit engagement, and whether the audit engagement complies with independence requirements, including those set out in the Fourth Schedule to the Accountants (Prescribed Standards and Code of Professional Ethics) Order 2023; [S 329/2023 wef 01/07/2023]
(ii)	developing the scope and objective of the audit engagement;
(iii)	evaluating the client’s profile and risk, and the implications of these for the audit engagement;
(iv)	reviewing and approving the planned audit approach before the start of audit fieldwork; and
(v)	ensuring that staffing and resources are adequate, taking into account the required competencies and capabilities;

(b)

leading functions, namely —

(i)	directing and monitoring the progress of the audit engagement, to ensure its compliance with applicable professional standards and regulatory and legal requirements, and against its timelines and budget;
(ii)	supervising and mentoring other professional staff involved in the audit engagement;
(iii)	communicating and consulting with the engagement partner and members of the engagement team about issues arising from the audit engagement which need to be resolved, and resolving such issues; and
(iv)	communicating with the client with respect to any matter relating to or arising from the audit engagement;

(c)

reporting functions, namely —

(i)	reviewing any document relating to the audit engagement, and reviewing the work done for the audit engagement, to ensure that the procedures performed are adequate and in compliance with the applicable auditing standards;
(ii)	forming opinions based on sufficient audit evidence and in accordance with the applicable auditing standards;
(iii)	communicating the audit findings to, and discussing such audit findings with, the client; and
(iv)	preparing, or supervising the preparation of, audit reports and other documents relating to the audit engagement to be delivered to the client under the audit engagement; [S 51/2015 wef 01/02/2015]

“practice monitoring programme” has the meaning given by section 32 of the Act;

[S 329/2023 wef 01/07/2023]

“public practice” means practice as a public accountant in the capacity of a sole proprietor, a partner in an accounting firm or a corporate practitioner in an accounting corporation or an accounting LLP;

“pupil” means a person who is to acquire qualifying audit experience under —

(a)	the direct supervision of one or more audit principals; or
(b)	where paragraph 3(4) of the Second Schedule applies, the overall oversight of an audit principal,

for the purpose of being registered as a public accountant under the Act;

[S 51/2015 wef 01/02/2015]

“qualifying audit experience” means practical experience acquired in —

(a)	carrying out an audit management role;
(b)	carrying out an audit quality review role; or
(c)	carrying out an audit technical role; [S 51/2015 wef 01/02/2015]

“quality control standards” and “quality control standards review” have the meanings given by section 38B of the Act;

[S 329/2023 wef 01/07/2023]

“Register” means the Register of Public Accountants;

“restriction order” means an order imposed by the Oversight Committee on a public accountant under section 38(2)(b)(i) or 52(2)(c) of the Act;

[S 51/2015 wef 01/02/2015]

[S 696/2020 wef 21/08/2020]

[S 329/2023 wef 01/07/2023]

“Singapore Standard on Quality Control 1” means the standard by that name issued by the Institute of Singapore Chartered Accountants (ISCA) that deals with an accounting entity’s responsibilities for its system of quality control for audits and reviews of financial statements, and other assurance and related services engagements;

[S 51/2015 wef 01/02/2015]

“Singapore Standard on Quality Management 1” means the standard by that name issued by the Institute of Singapore Chartered Accountants that deals with an accounting entity’s responsibilities to design, implement and operate a system of quality management for audits or reviews of financial statements, or other assurance or related services engagements;

[S 329/2023 wef 01/07/2023]

“Singapore Standard on Quality Management 2” means the standard by that name issued by the Institute of Singapore Chartered Accountants that deals with the appointment and eligibility of an engagement quality reviewer and the engagement quality reviewer’s responsibilities relating to the performance and documentation of an engagement quality review;

[S 329/2023 wef 01/07/2023]

“suspension order” means an order imposed by the Oversight Committee on a public accountant under section 38(2)(a)(ii), (5)(b) or (6)(b), 38A(1), 38J(1)(a)(ii), (3)(b) or (6)(b) or 52(2)(b) of the Act.

[S 696/2020 wef 21/08/2020]

[S 329/2023 wef 01/07/2023]

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