Snapshot of IAASA's Financial Reporting Supervision activities in 2021

The Irish Auditing and Accounting Supervisory Authority ("IAASA") recently published a Snapshot of its Financial Reporting Supervision activities in 2021. 

Part of IAASA's supervisory role is to ensure public confidence in financial reporting. In doing so, IAASA's Financial Reporting Supervision Unit oversees the statutory financial reporting of certain entities within its supervisory remit. IAASA's financial reporting supervisory role is derived from the EU Transparency Directive, as transposed into Irish law (the "Directive"). There are currently 99 entities which IAASA oversees in accordance with the Directive, referred to as issuers. 

IAASA's role under the Directive is to examine issuers' compliance with the financial reporting framework requirements set out in the Directive. This involves examining their annual and half-yearly financial reports and taking appropriate action where non-compliance or infringements are identified.

Interestingly, as Brexit became more embedded in 2021, 6 equity and 1 debt issuer fell outside the scope of IAASA's supervisory remit.  

In 2021, IAASA conducted an examination of 43 financial reports, compared to 47 in 2020. There were 280 outcomes of examinations which resulted in 86 undertakings and the publication of 5 decisions. 

Other functions of IAASA's Financial Reporting Supervisory Unit include engaging with other international accountancy bodies, including the EU national accounting enforcers to ensure the implementation of International Financial Report Standards across the EU, and the provision of accountancy advice to the Minister. 

Further details on these other functions of the Supervisory Unit will be published in IAASA's 2021 Annual Report. 

Written by Barry Fagan and James Roche