China Association for Public Comment on Independence Standards

On September 18th, the China Certified Public Accountants Association recently issued the "China Certified Public Accountant Independence Standard No. 1 - Requirements for Independence in Financial Statement Auditing and Review Business (exposure draft) " for public comment. This revision strengthens the relevant provisions on fees. First, it is clear that accounting firms shall not affect audit fees because they provide audit clients with services other than audit. Second, it strengthens the requirements for fees that are overly dependent on individual audit clients. Third, for audit clients of public interest entities, accounting firms are required to communicate with client governance and publicly disclose information on fees.