CSR Assurance Report was issued vide ICAP Circular no. 02/2015, dated February 9, 2015. However, International Standard on Assurance Engagements (ISAE) 3000, ‘Assurance Engagements Other than Audits or Reviews of Historical Financial Statements’, has been revised, effective for assurance reports dated on or after 15 December 2015. The CSR/ Sustainability Assurance Report has been revised by the ICAP, in accordance with the requirements of ISAE 3000 (Revised).
In accordance with the requirements of ISAE 3000 (Revised), following additional key elements have been included in the CSR/ Sustainability Assurance Report:
- The Criteria: When preparing the report, the auditor should mention the framework/indicators/guidelines/methodologies used by the Company to prepare the Sustainability report. (refer para 69(d) of ISAE 3000 (Revised);
- The Auditor’s Independence: The auditor must affirm compliance with the independence and other ethical requirements of Code of Ethics for Chartered Accountants issued by the ICAP. (refer para 69(j) of ISAE 3000 (Revised);
- The Auditor’s Quality Control: The auditor must affirm compliance to the requirements of International Standard on Quality Control 1 (ISQC 1), “Quality Control for Firms that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements”. (refer para 69(i) of ISAE 3000 (Revised);
- The Auditor’s Responsibility: The auditor must clearly express that his responsibility is Limited Assurance Conclusion. (refer para 69(k) of ISAE 3000 (Revised);
- Summary of the Work Performed: The auditor must summarize the assurance procedures performed. However, the suggested work performed mentioned in the CSR report format may be modified and other procedures added as relevant to the respective engagement conditions. (refer para 69 of 69(k) of ISAE 3000 (Revised);
- Description of the matter(s) giving rise to the exceptions: When applicable, the Auditor must note exceptions causing the company’s Sustainability report to be materially misstated. (refer para 69 (l) (v) of ISAE 3000 (Revised); and
- The Auditor’s Conclusion: The Auditor must express that Limited Assurance Conclusion is based on sufficient appropriate evidence, on the matters outlined in the CSR/ Sustainability report. (refer para 69(l) (i) of ISAE 3000 (Revised).
The Council of the Institute has approved the enclosed revised CSR/ Sustainability Assurance Report in its 283rd meeting held on January 25, 2017.
The revised report format will supersede the CSR/ Sustainability Assurance Report issued vide ICAP Circular No. 02/2015 dated February 9, 2015.
Members are advised to take guidance from the enclosed CSR/ Sustainability Assurance Report format.