New International Standard on Auditing for Less Complex Entities (ISA for LCE) issued by IAASB

The IAASB has completed work on an International Standard on Auditing for Less Complex Entities (ISA for LCE). This is a standalone auditing standard built on the foundation of the International Standards on Auditing (ISAs). It recognized the importance of smaller businesses and their specific audit needs. The standard will help maintain confidence in financial reporting and promote the consistent application of auditing standards to LCEs. As the standard responds to growing global needs, it has been developed over a long period of time with the involvement of stakeholders. 
The ISA for LCE is effective for audits beginning on or after December 15, 2025 for jurisdictions that adopt or permit its use. 

It is the nature of the business that determines if this standard can be used. For example, it cannot be used by entities that are listed or have public interest characteristics. 

Additional information on the application of ISA for LCE.

SARAS, on its part, is ready to conduct further legal procedures related to the introduction of this international standard in the Georgian language and to ensure its implementation for audits beginning on or after December 15, 2025. 

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