The Institute of Chartered Accountants of India (ICAI) has issued a Guidance Note on the Companies (Auditor’s Report).
The Auditing and Assurance Standards Board (AASB) has been constituted by the Institute of Chartered Accountants of India (ICAI) for formulation of Engagement and Quality Control Standards (Standards on auditing, review, other assurance, quality control and related services).
AASB also develops Guidance Notes, Technical Guides, Implementations Guides and other publications on generic as well as industry specific issues in auditing, with the prime objective of providing guidance to the auditors. The Board organizes regular awareness programmes across the country on auditing standards and other auditing aspects to update the knowledge of the members. In July 2020, the AASB issued the “Guidance Note on the Companies (Auditor’s Report) Order, 2020” to provide detailed guidance on reporting requirements of CARO 2020.
The Ministry of Corporate Affairs vide notification dated 24th March 2021 issued amendment to Schedule III to the Companies Act, 2013. The Schedule III, as amended, requires various disclosures in financial statements some of which are corresponding to the reporting requirements of CARO 2020. In the light of aforesaid amendments, the AASB has undertaken revision and brought out the “Guidance Note on the Companies (Auditor’s Report) Order, 2020 (Revised 2022 Edition)” to provide guidance on various clauses of CARO 2020 in easy to understand language.
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscan AdFree. Follow us on Telegram for quick updates.
