IAASB Proposes Comprehensive Revisions to ISRE 2410

Posted 12 May 2026 Written by Acts Online
Category Accounting and Auditing

Brought to you by SA Accounting Academy: The International Auditing and Assurance Standards Board (IAASB) has issued an Exposure Draft proposing significant revisions to International Standard on Review Engagements (ISRE) 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity.

The proposed revisions represent the first comprehensive update to the standard since its inception in 2005. The IAASB aims to modernize the framework for interim financial reporting to align with global audit and assurance improvements made over the last two decades. The revisions seek to reinforce confidence in interim review engagements by clarifying regulatory expectations, strengthening consistency in practice, and improving communication to users through more transparent reporting.

A primary objective of the Exposure Draft is to provide a clearer articulation of the nature of an interim review engagement and how its scope and objectives differ from a full financial statement audit. The IAASB has introduced enhanced requirements in areas of high public interest, specifically regarding going concern, fraud, and non-compliance with laws and regulations (NOCLAR). These changes are intended to align the standard with the International Code of Ethics for Professional Accountants issued by the International Ethics Standards Board for Accountants (IESBA).

Key enhancements within the proposed standard include:

  • Requirements for engagement-level quality management to ensure consistent performance across all review engagements.
  • Specific procedures for determining materiality when planning and performing the interim review.
  • New provisions addressing group interim review engagements to reflect the complexities of modern corporate structures.
  • Improved transparency in the auditor’s interim review report to provide more granular information to investors and stakeholders.

The IAASB is currently seeking stakeholder input on the application of ethics considerations to interim review engagements. Feedback provided during this public consultation phase will be used to ensure the final revised standard is practical and globally operable for practitioners.

Click here to download the Explanatory Memorandum and the Exposure Draft.

What this means for you, your business, or your clients

  • For yourself: As a professional auditor or independent reviewer, you must review the proposed materiality and quality management requirements to prepare for more rigorous documentation standards in interim engagements.
  • For your business: Audit firms must evaluate their current engagement methodologies to ensure they can accommodate the new specific requirements for group interim reviews and the enhanced focus on NOCLAR reporting.
  • For your clients: Listed entities and clients requiring interim reviews should be advised that auditors will require more detailed information regarding going concern and fraud risk assessments, potentially impacting data preparation timelines.

Originally published at https://accountingacademy.co.za/news/read/iaasb-proposed-revisions-to-isre-2410-to-strengthen-interim-review-engagements

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