IRBA Proposes Revised SAAPS 3 Illustrative Reports

Posted 01 July 2026 Written by Acts Online
Category Financial and Accounting

Brought to you by SA Accounting Academy: The Independent Regulatory Board for Auditors (IRBA) has published the Exposure Draft (ED) of the proposed South African Auditing Practice Statement (SAAPS) 3 (Revised XXX 2026) Illustrative Reports, updating the framework for registered auditors reporting on financial statements in South Africa.

In terms of the Auditing Profession Act, No. 26 of 2005, the Independent Regulatory Board for Auditors (IRBA) Committee for Auditing Standards (CFAS) has issued the proposed South African Auditing Practice Statement (SAAPS) 3 (Revised XXX 2026) Illustrative Reports. This statement provides practical guidance to registered auditors reporting on financial statements for compliance with the International Standards on Auditing (ISAs) or the International Standards on Review Engagements (ISREs), alongside South African legal and regulatory requirements.

The proposed SAAPS 3 (Revised) contains 32 illustrative reports covering both audits and independent reviews. The key revisions include:

  • The introduction of Appendix 1(b) explaining the interaction between the IRBA’s Enhanced Auditor Reporting Rule and the reporting requirements in ISA 570 (Revised 2024).
  • The inclusion of an additional illustrative report addressing circumstances where directors elect to apply the disclosure requirements of IFRS 19, Subsidiaries without Public Accountability: Disclosures.
  • Editorial improvements updating references to the latest standards and enhancing wording clarity and consistency.

Subject to comments, the CFAS expects to approve and issue the final SAAPS in November 2026. The proposed effective date is for audits of financial statements for periods beginning on or after 15 December 2026, aligning with major 2025 projects including the Going Concern and Fraud standards. Early adoption is permitted but requires full application of ISA 570 (Revised 2024), ISA 240 (Revised), and narrow-scope amendments to the ISQMs, ISAs, and ISRE 2400 (Revised) across the entire engagement.

Click here to download the Explanatory Memorandum & Exposure Draft.

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

  • For yourself: You must familiarise yourself with the 32 new illustrative reports and the interaction between the IRBA Enhanced Auditor Reporting Rule and ISA 570 (Revised 2024) to ensure correct reporting.
  • For your business: Your audit firm must update its reporting templates and methodology to align with the proposed SAAPS 3 (Revised) formats ahead of the 15 December 2026 effective date, or earlier if early adoption is chosen.
  • For your clients: Your clients, particularly subsidiaries adopting IFRS 19 disclosures, will receive updated, compliant audit and review report formats that reflect the latest international and local regulatory standards.

Originally published at https://accountingacademy.co.za/news/read/irba-proposed-revised-saaps-3-illustrative-reports

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