HONG KONG INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS
Committee Membership Details for the Year 2025
Audit Committee
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Terms of Reference
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| 1. |
To consider the appointment and re-appointment of the external auditors, the audit fee and terms of engagement, and any questions of resignation or dismissal; to make a recommendation to Council to re-tender the audit engagement when the need arises. |
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| 2. |
To discuss with the external auditors before the audit commences, the nature and scope of the audit. |
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| 3. |
To review the annual financial statements before submission to the Council/the Board of the Hong Kong Institute of Accredited Accounting Technicians, focusing particularly on: |
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| (a) |
any changes in accounting policies and practices; |
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| (b) |
major judgment areas; |
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| (c) |
significant adjustments resulting from the audit; |
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| (d) |
the going concern assumptions; |
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| (e) |
compliance with accounting standards; and |
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| (f) |
compliance with the Professional Accountants Ordinance, Cap 50 and other legal requirements. |
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| 4. |
To discuss issues and reservations arising from the management accounts and financial audits, and any matters the auditors may wish to discuss (in the absence of management where necessary). |
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| 5. |
To review the external auditors' management letter and management's response. |
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| 6. |
To review the Institute's statement on internal control system (where one is included in the annual report) prior to endorsement by the Council. |
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| 7. |
To review the internal audit programme, ensure co-ordination between the internal and external auditors, and ensure that the internal audit function is adequately resourced and has appropriate standing within the Institute. |
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| 8. |
To approve all non-audit services performed by the external auditors where the cost for those services exceed 10% of the total audit fee. |
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| 9. |
To consider the major findings of the internal and external auditors and management's response. |
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| 10. |
To consider other topics as defined by Council. |
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| 11. |
To perform other related duties as deemed appropriate for the betterment of corporate governance. |
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