Global Standard Setter Limits Auditors’ Consulting Work

The body that sets ethical guidelines for auditors globally is bolstering guardrails around the consulting work auditors can do to strengthen their independence from clients.

The International Ethics Standards Board for Accountants said Wednesday that it is changing its guidelines for auditors on two key areas: fees and non-assurance services provided to clients. The revisions, effective from Dec. 15, 2022, include toughening up rules to prevent auditors from being over-dependent on a single client’s fees, such as more transparency on fees paid to clients that are public ...