Although the CCPy has no legal authority or responsibility to establish a mandatory quality assurance (QA) review system for all audits of financial statements, the CCPy has adopted ISA 220 and ISQC 1 for application by...

Although the CCPy has no legal authority or responsibility to establish a mandatory quality assurance (QA) review system for all audits of financial statements, the CCPy has adopted ISA 220 and ISQC 1 for application by its members through the Resolution No. 7 of 2003 and, since 2011, the CCPy has been attempting to establish a QA system for its members and promote the establishment of a mandatory QA review system at the jurisdiction level.

As part of these efforts, in 2015, the CCPy signed an agreement with Inter-American Accounting Association (AIC) to develop a QA system for members; however, the program has yet to be implemented and no timeline has been established. The institute states in its Action Plan that one of its primary challenges to moving forward with the development and implementation of a QA review system is lack of funding.

Nonetheless, the CCPy states that it will support members’ implementation of the standards by providing training activities and disseminating information of relevant standards. In addition, the CCPy indicates it is working to develop quality control guidelines for Small- and Medium-sized Practices with the support of the AIC.

The CCPy is encouraged to establish plans in its SMO Action Plan to promote and support the development of a mandatory QA review system at the jurisdiction level for all audits, working with the regulators and other relevant organizations to introduce a QA system, and to promote such a systems’ compliance with the revised SMO 1 requirements.

The CCPy is encouraged to provide an update on the establishment and implementation of the QA review system for its members with a defined timeline and following guidance by IFAC staff and indicate which actions have been completed. In addition, the CCPy is encouraged to include specific actions to support its members with the implementation of the standards.

In Paraguay only auditors of regulated entities are subject to some initial and continuing professional development requirements and those do not fully incorporate the IES requirements. For auditors of entities regulated...

In Paraguay only auditors of regulated entities are subject to some initial and continuing professional development requirements and those do not fully incorporate the IES requirements. For auditors of entities regulated by the Superintendent of Banks, the National Securities Commission, the Superintendent of Insurance, the Tax Authority, and the National Institute of Cooperatives, membership in a professional accountancy organization (PAO) is required in order to be on the respective registries. For other professional accountants, only a bachelor’s degree in accounting is required to begin practicing in the profession.

As an entity established by general consensus, the CCPy lacks authority to further adopt IES requirements for its members and therefore, its activities primarily include actions to promote the adoption and implementation of IES requirements to the universities; the Ministry of Education; and the Autonomous Council of Universities and the National Agency of Evaluation and Accreditation of Higher Education.

The CCPy states that it collaborates with the universities to assess the current accounting curricula against the IES requirements with the objective of developing a curricula and training model for students in the jurisdiction. In addition, the CCPy plans to contact other PAOs in the region to share experiences in the adoption of the IES requirements. However, apart from a general statement, no specific activities have been indicated.

The CCPy reports that it is considering ways to obtain the translations of the IES and distribute information to members and regulators on recent developments and revised standards issued by the IAESB.

The CCPy is encouraged to establish plans in its SMO Action Plan to promote and support the adoption of the IES requirements to the regulators and government with a defined timeline and following guidance by IFAC staff and indicate which actions have been completed. It is also recommended that CCPy collaborate with other stakeholders involved in the education of professional accountants in the jurisdiction, such as other professional organizations as well as the regulators, to develop a roadmap for bringing national educational requirements for all professional accountants in line with IES. The CCPy is also encouraged to promote the IES requirements to the regulators that have registration requirements for external auditors.

The CCPy is not legally responsible for the adoption of auditing standards in Paraguay but it does play an important role in the standard-setting process by recommending the application of ISA, although the CCPy’s...

The CCPy is not legally responsible for the adoption of auditing standards in Paraguay but it does play an important role in the standard-setting process by recommending the application of ISA, although the CCPy’s recommendations lack legal backing. The CCPy issued Technical Resolution (TR) No.7 of 1999, modified by the TR No. 8 of 2004, recommending the application of the 2013 version of ISA. In Paraguay the Ministry of Finance requires ISA version 2004 for entities and individuals, and regulated companies are required to be audited using a combination of ISA (the version of which is unclear) and their own sector-specific standards.

The CCPy reports that it has plans to establish a working group with relevant regulators to promote the adoption of ISA for all mandatory audits. Additionally, the CCPy intends to prepare guidelines for Small- and Medium-sized Entities in order to facilitate the implementation of the standards.

To support its members, the CCPy provides trainings on ISA on an ongoing basis through congresses and seminars, and plans to disseminate information on the standards and international developments in this area through printed materials and its website. In addition, the CCPy disseminates ISA related materials with the universities to promote its incorporation in the accounting curricula.

Lastly, the CCPy reports plans to create a mechanism to disseminate exposure drafts issued by the IAASB to receive input and comments from members before submitting a response.

The CCPy is encouraged to continue promoting the need to adopt ISA for all mandatory audits to the regulators and to update the ISA version required by the Ministry of Finance. The CCPy needs to update the SMO Action Plan following staff guidance and indicate which actions have been completed and identify more specific ways they are engaging with regulators. In addition, if deemed feasible, it would be beneficial for the CCPy to participate in the international standard-setting process by providing comments on exposure drafts and other IAASB pronouncements.

The CCPy is also encouraged to ensure it has the proper policy agreements in place with IFAC to reproduce ISA. Please see the policies here.

The CCPy is responsible for setting ethical requirements for its members and has established an Ethics Council which adopted the 2011 IESBA Code of Ethics. Furthermore, the CCPy indicates that the Council is responsible...

The CCPy is responsible for setting ethical requirements for its members and has established an Ethics Council which adopted the 2011 IESBA Code of Ethics. Furthermore, the CCPy indicates that the Council is responsible ensuring its members’ compliance with the Code.

The CCPy indicates that its Ethics Council has processes in place to disseminate information about the Code and has also included the IESBA Code of Ethics in the training programs.

Additionally, the CCPy reports that it raises awareness of the IESBA Code of Ethics amongst regulators and also promotes the Code to universities in order to have the Code incorporated into curricula. However, no specific activities have been indicated.

The CCPy is encouraged to include specific actions in its SMO Action Plan about processes it has in place to consider and incorporate amendments to the IESBA Code of Ethics. Also, the CCPy is encouraged to continue promoting the need to adopt best practices at the national level to the relevant authorities and stakeholders by urging regulators to update of their required version of the IESBA Code of Ethics.

The CCPy is encouraged to notify members and stakeholders of all new, proposed, and revised international standards and other pronouncements. The CCPy is also encouraged to consider including plans in its SMO Action Plan to participate in the international standard-setting process by providing comments on exposure drafts and other IESBA pronouncements. In addition, the CCPy is also encouraged to ensure it has the proper policy agreements in place with IFAC to reproduce the IESBA Code of Ethics. Please see the policies here.

The CCPy is not responsible for setting public sector accounting standards; nevertheless, it reports that it promotes the adoption of IPSAS by significantly contributing to consultation activities around the adoption of...

The CCPy is not responsible for setting public sector accounting standards; nevertheless, it reports that it promotes the adoption of IPSAS by significantly contributing to consultation activities around the adoption of IPSAS.

To this end, the CCPy reports that it has signed an agreement with the Direction of Public Accounting (DGCP)—the entity responsible for the adoption of public sector accounting standards—to provide training and technical support as the DGCP analyzes the impact of the adoption and implementation of IPSAS. For this purpose, the CCPy has created a government commission which is particularly responsible for coordinating and executing these activities. In addition, the CCPy states that it SMO 5 section of its Action Plan is reviewed and approved by the DGCP.

In 2016, the CCPy was instrumental in incorporating IPSAS into the Inter-American Accounting Association conference agenda. In 2017, the CCPy has stated plans to support the DGCP with an IPSAS Congress, organized under the auspices of the World Bank.

The CCPy is encouraged to provide information on the nature of the currently applicable public sector accounting standards in Paraguay in its SMO Action Plan. It is also recommended that CCPy continue promoting the need to adopt IPSAS to the regulators.

The CCPy is encouraged to establish plans in its SMO Action Plan to notify members and stakeholders of all new, proposed, and revised international standards and other pronouncements. In addition, if deemed feasible and relevant, it would be beneficial for the CCPy to participate in the international standard-setting process by providing comments on exposure drafts and other IPSASB pronouncements.

The CCPy is responsible for establishing and operating an investigative and discipline (I&D) system for its members and has established and implemented I&D system accordingly. The CCPy reports that it plans to...

The CCPy is responsible for establishing and operating an investigative and discipline (I&D) system for its members and has established and implemented I&D system accordingly. The CCPy reports that it plans to fully incorporate the SMO 6 requirements into its I&D system and intends to implement a national plan for dissemination and socialization of its I&D system. Apart from these statements, no further information has been provided and the extent of compliance with the requirements of SMO 6 has not been reported.

The CCPy is encouraged to carry out a comparison between its I&D policies and processes against the requirements of SMO 6. If gaps in compliance exist, the CCPy should prioritize the development of strategic plans to adopt any missing requirements and update its SMO Action Plan accordingly. In addition, it is also recommended that the CCPy include specific actions in its SMO Action Plan to consider promoting the adoption of an I&D system that is in line with SMO 6 requirements to other regulators and professional accountancy organizations that are involved in the I&D of professional accountants with the objective of ensuring full compliance at the jurisdictional level.

Although the Ministry of Finance is responsible for the adoption of accounting standards, the CCPy actively participates and contributes to the standard-setting process and encourages the application of IFRS. It has done...

Although the Ministry of Finance is responsible for the adoption of accounting standards, the CCPy actively participates and contributes to the standard-setting process and encourages the application of IFRS. It has done this by issuing Technical Resolution (TR) No.7 of 1999, modified by the TR No. 8 of 2004, which recommends the application of IFRS and IFRS for Small- and Medium-sized Entities (SMEs) by its members. However, the TR is not legally binding and membership of the CCPy is voluntary; thus, international standards are viewed only as guidelines by practicing accountants.

To promote the legal adoption of IFRS and IFRS for SMEs, the CCPy reports that it holds meetings with regulators as well as universities in order to further raise stakeholder awareness. In addition, the CCPy periodically disseminates its TRs to the regulators to continue the drive for the adoption of the IFRS.

Additionally, the CCPy indicates that it supports members’ implementation by providing training activities and developing guideline materials. The CCPy also notes that it is considering a dissemination mechanism to distribute printed books of the IFRS and IFRS for SMEs.

The CCPy is encouraged to indicate in its SMO Action Plan which version of the IFRS that it has recommended its members apply. The CCPy is encouraged to continue its work with the regulators to adopt IFRS and IFRS for SMEs as the applicable accounting standards in the jurisdiction.

Additionally, the CCPy is encouraged to notify members and stakeholders of all new, proposed, and revised international standards and other pronouncements. Lastly, if deemed feasible and relevant, it would be beneficial for the CCPy to participate in the international standard-setting process by providing comments on exposure drafts and other IASB pronouncements.