SA 260 — Communication with Those Charged with Governance

Issued by ICAI AASB · Concluding

What you must tell the audit committee / board — and when.

Objective

To establish two-way communication with TCWG and communicate on a timely basis: auditor's responsibilities, planned scope, significant findings, and auditor's independence.

Key requirements

At planning: scope and timing
At conclusion: significant findings, qualitative aspects of accounting practices, material weaknesses
Independence: written confirmation at least annually
For listed entities: independence-confirmation language and key audit-team rotations

Typical procedures

Letter to audit committee outlining planned scope and timing
Closing letter to audit committee on significant findings and adjustments
Independence confirmation included in the closing letter

Common pitfalls

Communicating only with the CFO, not the Audit Committee
No documented agenda / minutes of the audit-committee meeting
Missing the SA 260.A33 listed-entity-specific communications

On CORAA

SA 260 communication template — drop into your firm letterhead, customise the findings section. Open the matching module →

SA 260 in practice

SA 260 sits in the Concluding phase of the audit. The Standards on Auditing are issued by the ICAI Auditing and Assurance Standards Board (AASB) and deemed to be prescribed by the Central Government under Section 143(10) of the Companies Act 2013. Compliance with SAs is mandatory for every audit conducted by a Chartered Accountant in India.

For authoritative text, refer to the ICAI AASB Compendium of Standards on Auditing at icai.org.

← Previous

SA 250 — Consideration of Laws and Regulations

Next →

SA 265 — Communication of Internal Control Deficiencies