Audit Independence Policies and Procedure

Audit Independence Policies and Procedure

Firm should form appropriate policies and procedures for communication of independence requirement to employee, identification & evaluation of threats to independence and safeguard against those threats.

1.    Communication of Independence Requirement

Firm should communicate to the employees about the independence requirements i.e. audit is to be conducted in professional manner without any influence.

2.    Identification of threats

Firm should develop such policies and procedures which helps it to identify the threat to independence.

3.    Safeguard against Threats

Firm should develop policies & procedures which provide firm reasonable safeguards against identified threats.