10. How will the transition to ISAs adopted as CASs affect standard setting in Canada?

Canadian Generally Accepted Auditing Standards or GAAS are currently set by the Auditing and Assurance Standards Board (AASB), which has the authority to develop and establish standards and guidance governing auditing and assurance in Canada.

International Auditing Standards are set by the International Auditing and Assurance Standards Board (IAASB) an international body dedicated to the development of international standards in auditing. The IAASB has a full-time chair and 17 volunteer members from around the world, appointed by the International Federation of Accountants (IFAC), and overseen by IFAC's Public Interest Oversight Board. The IAASB as a whole represents global diversity and multiple perspectives. A number of Canadians serve on the IAASB and its various working groups.

The Canadian Auditing and Assurance Standards Board (AASB) will maintain its standard setting capability. While its role in setting standards will change with regard to audits of historical financial information, it will continue its vital role of influencing the future directions of such auditing standards to ensure that the Canadian point of view is effectively presented. The AASB will continue to be responsible for the adoption of ISAs as CASs. In addition, it will continue its responsibility for standard setting in areas other than audits of historical financial information, and for the parts of the CICA Handbook/Assurance providing standards for other assurance services such as reviews of financial statements and other information, and related services such as compilation engagements and engagements to perform agreed-upon auditing procedures.