Standard No. 4400 on Contracts for Implementation of Pre-Agreed Procedures for Information, issued together with Circular 68/2015 / TT-BTC
I / GENERAL PROVISIONS
01. This Standard specifies and guides the responsibilities of practicing accountants and accounting firms, practicing auditors and auditing firms (hereinafter referred to as "practitioners") when performing the exercise. contracts to carry out pre-agreed procedures for financial information, the form and content of reporting issues related to that service.
For the purposes of this Standard, the term "practitioner" is understood to mean that performers performing prior agreed procedures for financial information, including members of management who are in charge of overall translation contracts. professional accountants, practicing auditors, and other contract team members perform pre-agreed procedures for financial information and in most cases, including joint accounting services, auditing firms (hereinafter referred to as "accounting and auditing firms"). Where this Standard emphasizes the requirements and responsibilities of the members of the Board of Directors responsible for overall engagement or the liability of the accounting or auditing firm, the term “general responsible member of management. service contract "or the term" accounting and auditing firm "is used instead of the term" practitioner ". The terms "member of the Board of Directors in charge of overall service contracts" and "accounting and auditing firms" are used equally in the public sector when appropriate.
02. This Standard applies to service contracts that involve financial information. However, this Standard can also provide useful guidance for service contracts relating to non-financial information, provided the practitioner is fully knowledgeable about the subject of the service and has reasonable criteria to base the practitioner's findings. Relevant Vietnamese Auditing Standards (VSA) regulations and guidelines are also necessary for practitioners to perform pre-agreement procedures for financial information.
03. A contract for the implementation of pre-agreed procedures may require the practitioner to perform certain procedures with respect to individual items of the financial statement (e.g. trade payables, accounts payable customer acquisition, related party purchases, partial revenue and profit of the entity), a single financial statement (e.g. balance sheet) or a set of financial statements full.
04. Practitioners are required to comply with the provisions and instructions of this Standard and the terms of the contract when performing contract performance of prior agreed procedures for financial information.
04.a Relationship with Quality Control Standard 1 - Quality control of firms performing audits, review of financial statements, assurance services and other related services (hereinafter referred to as is “Quality control standard 1): The accounting and auditing firm is responsible for its system of quality control policies and procedures. Quality Control Standard No. 1 applies to accounting firms and auditors performing contracts that perform pre-agreed procedures for financial information in accordance with this Standard (see paragraph 04 of this Standard. No. 1 quality control ink). The provisions and guidelines of this Standard relating to quality control at the level of each contract performing pre-agreed procedures for financial information established on the basis of the firm The auditor must comply with Quality Control Standard 1, other professional requirements or relevant legal and regulatory requirements, at least equivalent to Quality Control Standard No. 1.
04.b. User entities (customers) and related entities must have the necessary understanding of the requirements and regulations of this Standard in order to coordinate work and deal with relationships. involves negotiating and performing contract execution of pre-agreed procedures for financial information.
II. IMPORTANT CONTENTS OF THE STANDARD
The objective of the contract is to implement pre-agreed procedures for financial information
05. The purpose of a contract to perform pre-agreed procedures for financial information is to let the practitioner perform the procedures, in essence the audit procedure that the practitioner, the service hiring entity. (or the unit tested if the tenant is not the one being tested) and any relevant third party responsible has agreed and reported the actual findings.
06. Practitioners provide only “Report on actual findings”From performing pre-agreed procedures without giving any guarantees. Therefore, users reporting actual findings should self-assess the procedures and findings reported by the practitioner and make their own conclusions based on the practitioner's report of actual findings. job.
07. Report of fact finding is limited to use to the parties that have entered into an agreement on the procedures to be performed because the other parties are not aware of the reasons for the procedures, and may misinterpret the conclusions. fruit.
The general principle of contracting implements pre-agreed procedures for financial information
08. Practitioners must comply with professional ethical standards of accounting and auditing. The ethical principles that govern practitioners' professional responsibilities when performing this type of service contract include:
(a) Integrity;
(b) Objectivity;
(c) Professional competence and prudence;
(d) Confidentiality;
(e) Professional status.
Independence is not a requirement of a contract to perform pre-agreed procedures for financial information. However, the terms or objectives of a contract performing pre-agreed procedures for financial information or professional standards may require the practitioner to adhere to the independence of the rules. and guidelines of professional ethics standards of accounting and auditing. If the practitioner does not guarantee independence, this should be disclosed in the report of the factual findings.
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