Auditors independence and its regulatory framework development at the international level

Author: David THROW

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Keywords:independence, financial involvement, contingent fees, personal association, restricted services, EU rules

Abstract:
Independence as attitude – an attitude that allows the issuance of an opinion without any influences that compromise the professional judgment, this meaning the individual engagement in an act that is characterized by integrity, objectivity of the professional individual reasoning;\r\nIndependence as appearance – avoidance of the material events and situations in which a reasonable and knowledgeable third party, with all the relevant information at hand, including the safeguards applied, would consider that the integrity, objectivity or the professional judgment of the firm or of a member of the audit team would be compromised.\r\n(IFAC Code of Ethics and professional Conduct, Section 8)

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