PHILIPPINE FRAMEWORK FOR ASSURANCE ENGAGEMENTS
This Framework defines and describes the elements and objectives of an
assurance engagement, and identifies engagements to which Philippine Standards
on Auditing (PSAs), Philippine Standards on Review Engagements (PSREs) and
Philippine Standards on Assurance Engagements (PSAEs) apply.
It provides a
frame of reference for:
Professional accountants in public practice (“practitioners”) when performing
Professional accountants in the public sector refer to
the Public Sector Perspective at the end of the Framework.
accountants who are neither in public practice nor in the public sector are
encouraged to consider the Framework when performing assurance
(b) Others involved with assurance engagements, including the intended users of
an assurance report and the responsible party; and
The International Auditing and Assurance Standards Board (IAASB) in its
development of ISAs, ISREs and ISAEs and, consequently, the Auditing
Standards and Practices Council (ASPC) in its adoption of said standards for
application in the Philippines.
This Framework does not itself establish standards or provide procedural
requirements for the performance of assurance engagements.
ISAs, ISREs and
ISAEs and, therefore, their counterpart PSAs, PSREs, and PSAEs, contain basic
principles, essential procedures and related guidance, consistent with the concepts
in this Framework, for the performance of assurance engagements.
relationship between the Framework and the ISAs, ISREs and ISAEs is illustrated
in the “Structure of Pronouncements Issued by the IAASB” section of the
Handbook of International Auditing, Assurance, and Ethics Pronouncements.
counterpart document, entitled “Structure of Pronouncements Issued by the
IAASB and the ASPC” is presented as Appendix to the “Preface to International
Standards on Quality Control, Auditing, Review, Other Assurance and Related
Services and Preface to Philippine Standards on Quality Control, Auditing,
Review, Other Assurance and Related Services.”
If a professional accountant not in public practice, for example an internal auditor, applies this Framework, and (a) this Framework,
the PSAs, PSREs or PSAEs are referred to in the professional accountant’s report; and (b) the professional accountant or other
members of the assurance team
and, when applicable, the professional accountant’s employer, are not independent of the entity in