CPA Australia

CPA Australia continues to support fulfillment of Statement of Membership Obligations 1 (SMO 1) through its Best Practice Program (BPP), which replaced the former Quality Review Program and is designed to support public practitioners in maintaining high professional and ethical standards. The BPP includes tailored assessments for public practice certificate holders and continues to link review outcomes with professional standards compliance and, where necessary, further regulatory follow-up.

Since the previous assessment, CPA Australia has continued to strengthen implementation support for members in response to the shift from quality control to quality management. It has made available a System of Quality Management Tool for Firms Providing Audit and Assurance Services, guidance on APES 320 Quality Management for Firms, practical factsheets on the new quality management requirements, audit and assurance resource pages, and practice management checklists designed to help firms maintain ongoing compliance. CPA Australia has also continued to disseminate lessons learned from the BPP through professional standards reporting, member newsletters, webinars, and continuing professional development activities.

Regulatory developments in the jurisdiction continue to support fulfillment. The Australian Securities and Investments Commission (ASIC) maintains a risk-based audit inspection and surveillance program focused on audit quality, auditor independence, and compliance with legislative and professional requirements. In parallel, Australia has adopted Australian Standard on Quality Management 1 (ASQM 1) and Australian Standard on Quality Management 2 (ASQM 2), which align with International Standard on Quality Management 1 (ISQM 1) and International Standard on Quality Management 2 (ISQM 2) and form part of the quality management framework applicable to firms.

Overall, CPA Australia continues to play an active and ongoing role in supporting quality management implementation, monitoring member compliance, and promoting continuous improvement in public practice. Accordingly, fulfillment of SMO 1 is assessed as Sustain.

Current Status: Sustain

CPA Australia continues to support fulfillment of Statement of Membership Obligations 2 (SMO 2) through its role in establishing and maintaining initial and continuing professional development requirements for members pursuing and holding the Certified Practising Accountant (CPA) designation. Entry to the CPA Program continues to require a recognized academic qualification or completion of relevant foundation requirements, together with completion of the CPA Program and 36 months of relevant practical experience. These requirements continue to support the jurisdiction’s broader educational framework for professional accountants and statutory auditors.

Since the previous assessment, CPA Australia has continued to expand professional learning support for members through a broad continuing professional development offering, including self-paced courses, webinars, workshops, and conferences, as well as a growing suite of micro-credentials. Recent offerings continue to emphasize emerging competence areas such as ethics, data and digital capability, sustainability, leadership, and artificial intelligence, which supports ongoing alignment of member development with evolving professional expectations.

CPA Australia’s continuing professional development requirements remain set at 120 hours over a triennium, with a minimum of 20 hours in each year. In addition, members are required to complete 10 hours of ethics-related continuing professional development per triennium, including at least two verifiable hours each year. CPA Australia also operates a continuing professional development review process to monitor member compliance. These measures demonstrate continued support for implementation of ongoing professional development requirements in practice.

Regulatory developments in the jurisdiction continue to support fulfillment. The Australian Securities and Investments Commission (ASIC) continues to require Registered Company Auditors (RCAs) to complete at least 120 hours of continuing professional development over each three-year period, which complements the professional education and continuing development systems maintained by CPA Australia and the other professional accountancy organizations in the jurisdiction.

Overall, CPA Australia continues to play an active and sustained role in supporting education, practical experience, and continuing professional development for aspiring and professional accountants. Accordingly, fulfillment of SMO 2 is assessed as Sustain.

Current Status: Sustain

CPA Australia continues to support fulfillment of Statement of Membership Obligations 3 (SMO 3) through active engagement in the development, adoption, and implementation of auditing standards in Australia. Statutory audits continue to be conducted under the Corporations Act 2001 using standards issued by the Auditing and Assurance Standards Board (AUASB), which continues to adopt and maintain Australian Auditing Standards (ASA) aligned with the latest International Standards on Auditing (ISA) issued by the International Auditing and Assurance Standards Board (IAASB).

Since the previous assessment, CPA Australia has continued to engage with the standard-setting process through participation in AUASB consultations, exposure drafts, roundtables, and stakeholder outreach. The organization continues to notify members of consultation opportunities and encourages member participation in the standard-setting process, thereby supporting jurisdiction-level alignment with international auditing standards.

To support implementation, CPA Australia maintains a dedicated Audit and Assurance Resource Centre, which includes practical guidance, technical articles, implementation tools, audit quality resources, and dedicated support materials on quality management standards, including Australian Standard on Quality Management 1 (ASQM 1) and Australian Standard on Quality Management 2 (ASQM 2). Additional support continues to be provided for audits of small and medium-sized entities (SMEs) and not-for-profit entities, including practical audit guidance and templates. CPA Australia also continues to provide continuing professional development courses, webinars, and technical updates on auditing and assurance matters, including recent updates relating to going concern, fraud, and quality management developments. (cpaaustralia.com.au)

Regulatory developments in the jurisdiction continue to support fulfillment. The AUASB has continued to update the Australian auditing framework in line with international developments, including recent updates to ASA 570 Going Concern and the continued operation of the ASQM framework. The Australian Securities and Investments Commission (ASIC) also continues to reinforce implementation through its audit inspection and surveillance program.

Overall, CPA Australia continues to play an active and sustained role in supporting adoption and effective implementation of ISA-aligned standards through technical engagement, member support, and continuing professional development. Accordingly, fulfillment of SMO 3 is assessed as Sustain.

Current Status: Sustain

CPA Australia continues to support fulfillment of Statement of Membership Obligations 4 (SMO 4) through active engagement with the Accounting Professional & Ethical Standards Board (APESB) and ongoing member support for implementation of APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (APES 110). The ethical framework in Australia continues to be based on APES 110, and the current compiled code reflects amendments issued through July 2025, including revisions relating to public interest entities, technology, tax planning and related services, and sustainability assurance and reporting.

Since the previous assessment, CPA Australia has continued to participate in ethics standard-setting through formal submissions on APESB exposure drafts and proposals affecting APES 110, including 2025 submissions on sustainability assurance and the use of the work of an expert. CPA Australia also maintains an Ethics and Professional Standards Centre of Excellence and dedicated APES 110 resource pages to support members and aspiring members in understanding and applying the Code.

CPA Australia continues to provide implementation support through technical guidance, ethics-focused learning content, and incorporation of ethics into its qualification and continuing professional development offerings. Recent support includes ethics-focused publications and podcast content that use APES 110 as a practical decision-making framework for addressing ethical dilemmas and professional judgment issues.

Regulatory and jurisdictional developments continue to support fulfillment. APESB has continued to update APES 110 in line with international developments, and the 2025 amendments relating to sustainability assurance are particularly relevant in light of Australia’s new mandatory sustainability reporting framework. Overall, CPA Australia continues to play an active and ongoing role in supporting ethics adoption, implementation, and awareness across the profession. Accordingly, fulfillment of SMO 4 is assessed as Sustain.

Current Status: Sustain

CPA Australia continues to support fulfillment of Statement of Membership Obligations 5 (SMO 5) through active engagement with public sector financial reporting developments in Australia and internationally. Public sector financial reporting in the jurisdiction continues to be based on Australian Accounting Standards (AAS) issued by the Australian Accounting Standards Board (AASB), which apply on an accrual basis and include public sector-specific requirements. While Australia has not adopted International Public Sector Accounting Standards (IPSAS) directly, the AASB continues to monitor and consider IPSAS developments where relevant to the Australian public sector framework.

Since the previous assessment, CPA Australia has continued to participate in public sector standard-setting consultations by responding to AASB and International Public Sector Accounting Standards Board (IPSASB) exposure drafts and encouraging member input on public sector reporting matters. CPA Australia maintains policy and advocacy activity in relation to public sector reporting, sustainability reporting in the public sector, and government financial accountability matters.

To support implementation, CPA Australia continues to provide professional development offerings, technical articles, research, and member resources relevant to public sector reporting, budgeting, and accountability. Its public sector resource hub and member networks continue to support professionals working across government and not-for-profit sectors. Recent technical commentary has also addressed the interaction between public sector reporting and emerging sustainability reporting requirements.

Regulatory developments continue to support fulfillment. The AASB has continued its policy work on the potential future role of IPSAS in Australia’s public sector reporting framework, including consultation on the use of IPSAS as a possible basis for future standards for not-for-profit public sector entities. While no jurisdiction-wide move to direct IPSAS adoption has yet been announced, CPA Australia continues to support convergence efforts where appropriate and to promote awareness of international public sector developments.

Overall, CPA Australia continues to play an active and sustained role in supporting public sector financial reporting developments, member capacity building, and stakeholder consultation. Accordingly, fulfillment of SMO 5 is assessed as Sustain.

Current Status: Sustain

CPA Australia continues to support fulfillment of Statement of Membership Obligations 6 (SMO 6) through a formal investigative and disciplinary framework established in its Constitution and By-Laws and supported by dedicated governance arrangements for professional conduct matters. The current By-Laws effective 1 October 2025 continue to regulate member conduct, disciplinary processes, sanctions, and related procedures, and the Professional Conduct Oversight Panel (PCOP) continues to support the Board on matters relating to professional conduct and discipline.

Since the previous assessment, CPA Australia has continued to strengthen transparency and public awareness by maintaining a public complaints portal, publishing disciplinary statistics, and disclosing outcomes of disciplinary hearings on its website. Its recent professional conduct reporting shows an operational system with both externally lodged and internally initiated complaints, while public hearing outcomes continue to be published across jurisdictions.

CPA Australia also continues to support implementation through ethics and professional standards education, member communications, and integration of professional conduct and ethics requirements into its broader regulatory and educational framework. Recent Board reporting indicates that CPA Australia continues to provide information on its disciplinary processes and ethics education requirements in external regulatory and parliamentary contexts, which supports awareness and accountability.

Regulatory developments in the jurisdiction continue to support fulfillment. The Australian Securities and Investments Commission (ASIC) remains responsible for investigation and enforcement in relation to Registered Company Auditors (RCAs) under the statutory framework, while the Companies Auditors Disciplinary Board (CADB) continues to operate as the independent disciplinary tribunal for company auditor matters. Taken together, the statutory framework for auditors and CPA Australia’s membership-based system support a sustained and operational jurisdictional approach aligned with the relevant SMO 6 benchmark. Accordingly, fulfillment of SMO 6 is assessed as Sustain.

Current Status: Sustain

CPA Australia continues to support fulfillment of Statement of Membership Obligations 7 (SMO 7) through active engagement in financial reporting standard-setting and sustained member support for implementation of Australian Accounting Standards (AAS), which incorporate International Financial Reporting Standards (IFRS Standards) at the jurisdiction level. The Australian Accounting Standards Board (AASB) continues to maintain the two-tier reporting framework comprising Tier 1 and Tier 2 Simplified Disclosures, with Tier 1 enabling explicit compliance with IFRS Standards as issued by the International Accounting Standards Board (IASB).

Since the previous assessment, CPA Australia has continued to participate in standard-setting consultations by submitting responses to AASB, IASB, and sustainability-related exposure drafts and consultations, including recent submissions on sustainability disclosure standards and financial reporting developments. CPA Australia continues to notify members of newly issued standards, exposure drafts, and consultation opportunities and encourages participation in the standard-setting process.

To support implementation, CPA Australia maintains an extensive Financial Reporting Resource Centre, which includes technical guidance, practical tools, model financial statements, templates, explanatory articles, and continuing professional development offerings covering IFRS and Australian financial reporting developments. Member support has expanded in recent years to include substantial guidance on sustainability reporting, reflecting Australia’s new mandatory climate and sustainability reporting framework. CPA Australia also continues to integrate relevant developments into the CPA Program and ongoing professional learning offerings.

Regulatory developments in the jurisdiction continue to support fulfillment. In addition to continued updates to AAS aligned with IFRS Standards, Australia has introduced a mandatory sustainability reporting framework, and CPA Australia has actively supported members through guidance, webinars, and policy commentary on the implementation of Australian Sustainability Reporting Standards (ASRS). This further strengthens the PAO’s role in supporting reporting standards implementation across the profession.

Overall, CPA Australia continues to play an active and sustained role in supporting standard-setting, member implementation, and public understanding of financial reporting developments. Accordingly, fulfillment of SMO 7 is assessed as Sustain.

Current Status: Sustain