27 July 2005 
 
CPA and Chartered Accounting professional services firms across Australia must meet enhanced quality control standards following the release today of a revised professional standard (APS 5) by Australia’s leading professional accounting bodies, the Institute of Chartered Accountants and CPA Australia. In adopting a joint standard the professional bodies have defined a common level of practice that the public and especially clients can expect from CPA and Chartered Accounting professional services firms.  
 
According to the accounting bodies, the new standard raises the benchmark for quality control processes within Chartered Accounting and CPA professional services firms by establishing basic principles and essential procedures along with providing guidance regarding a firm’s responsibilities for its system of quality control.  
 
The standard applies to all practices with Chartered Accountants or CPA partners that have a public practicing certificate (CPP or PPC), including audit, financial planning, accounting, taxation and business advisory firms and brings the earlier Quality Control standard (APS 4/5 CPA Australia and APS 4 and 5 ICAA) into line with recent international reforms initiated by the International Federation of Accountants.  
 
CPA Australia President, Mark Coughlin said, “APS5 is important because it extends the high standards of professional conduct that we expect from individual CPAs and CAs to all levels of the professional services firm. APS5’s release is an opportunity for firms to review how they identify and manage risks, and protect their client relationships.”  
 
Institute of Chartered Accountant’s CEO Stephen Harrison said, “The professional bodies are committed to working together towards the betterment of the accounting profession. The new standard adds value to accounting practices by enhancing practice efficiency and client service as well as focussing on compliance with standards and regulations.”  
 
Members of the public and business who obtain services from Chartered Accounting and CPA firms may see few changes as a result of the new standard because many firms already exceed the requirements of the standard and have comprehensive quality control processes to benefit the business and deliver enhanced service to clients. The major change is that CPA Australia’s and the Institute of Chartered Accountant’s quality assurance reviews of professional services firms will reflect the higher standards.  
 
 
CPA Australia and the Institute of Chartered Accountants in Australia collectively represent more than 150,000 finance, accounting and business professionals across Australia, and work together to deliver better outcomes for the profession, business and the Australian community.