This Guidance Statement (GS) has been formulated by the Auditing and Assurance Standards Board (AUASB) to provide supplementary guidance to public sector auditors and assurance practitioners in implementing and applying AUASB Standards to audits, reviews, other assurance and related services engagements in the public sector (public sector engagements).

The aim of the AUASB in issuing this GS is to promote consistent application of AUASB Standards in the public sector to enhance the quality of public sector audit and assurance engagements and their resulting reports.

This GS is to be read and applied in conjunction with applicable AUASB Standards, which set out the minimum requirements and related application and other explanatory material that are to be applied in conducting public sector engagements. This GS does not establish or extend the requirements (or basic principles or essential procedures) under existing AUASB Standards for public sector engagements.

Auditors and assurance practitioners should exercise professional judgement when using this GS.

This section of the GS provides supplementary application and other explanatory material in relation to selected issues identified as presenting challenges in applying Auditing Standard ASA 210 Agreeing the Terms of Audit Engagements in the public sector. It does not contain any further requirements for the conduct of the audit. It is to be read and applied together with ASA 210.

This section of the GS provides supplementary application and other explanatory material in relation to selected issues identified as presenting challenges in applying Auditing Standard ASA 570 Going Concern in the public sector. It does not contain any further requirements for the conduct of the audit. It is to be read and applied together with ASA 570.

This section of the GS provides supplementary application and other explanatory material in relation to selected issues identified as presenting challenges in applying the ASA 220 definition of ‘Engagement Partner’ in the public sector. It does not contain any further requirements for the conduct of the audit. It is to be read and applied together with ASA 220.