Definition
Under AU-C 700, the auditor dates the report no earlier than the date on which the auditor has obtained sufficient appropriate evidence to support the opinion. That includes evidence that the audit documentation has been reviewed, that the financial statements and disclosures have been prepared, and that management has taken responsibility for them. The report release date is a separate date: the day the auditor grants the client permission to use the report.
Why it matters in an audit or review
The report date anchors the subsequent events search: AU-C 560 requires the auditor to perform procedures up to that date. After the report date the auditor has no obligation to perform further procedures, but must respond to facts that become known before the report is released. The representation letter is dated as of the report date, so a gap between the two dates is a red flag in review.
Example
Illustrative: fieldwork ends February 20, but the board has not approved the statements and a legal letter is outstanding. The auditor holds the report date until both are in hand, and dates the report March 8, the day those items arrive.
Common mistakes
Backdating the report to the end of fieldwork while evidence remains outstanding.
FAQ
Can the report date be later than the board approval date?
The report date cannot precede the date management has taken responsibility for the financial statements, but it can fall after it.
Sources
- AICPA, AU-C Section 700, Forming an Opinion and Reporting on Financial Statements (dating of the report)
- AICPA, AU-C Section 560, Subsequent Events and Subsequently Discovered Facts (date of the report, report release date)
- AICPA, AU-C Section 580, Written Representations (date of the representation letter)
Definitions paraphrase AICPA and FASB guidance; read the standard itself before relying on a requirement. Example figures are illustrative. This page is guidance, not professional advice. Report an error