Public Interest Entity 중심의 감사인의 독립성 규제 개선방안

Abstract

This study compares the laws and regulations of major countries for the independence of auditors, focusing on public interest entities that have interests with the public in order to improve the over-regulation problems of current independence-related laws in respect of auditors performing certification work. The results are as follows. In the United States, only the listed corporations are required by law to maintain the independence of external auditors in the SEC Regulations. In the United Kingdom, issuers, financial institutions, and insurance companies for transferable shares that are permitted to trade in the open stock market are defined as Public Interest Entity, and there is a limit on the external auditor replacement and non-audit services. Germany has incorporated into its domestic law the rules for external audits of the European Union that require regulation by classifying public interest entities. In Japan, the Certified Public Accountant Act stipulates special cases for restricting auditors' independence, such as prohibiting the simultaneous provision of audit and specific non-audit services, and limiting continuous audits. When regulations on auditors' independence are needed, countries are concentrating on public interest entities to ensure their enforcement, and self-regulations are applied for those difficult to regulate by the laws. The International Ethical Standards allow those non-audit services with proper safeguards to reduce the threat of independence to an acceptable level. In Korea, public interest entities need to be introduced in the Law of Certified Public Accountants to maintain and strengthen the regulation of auditors' independence. General entities may allow their auditors to apply safeguards and provide their non-audit services according to the Code of Ethics for Professional Accountants. Specifically, an auditor of public interest entities should not join the audit under the law when the spouse of auditor is the director or employer responsible for financial matters in all entities. Also in accordance with the law, certain non-audit services should not be provided to public interest entities by the auditors. The Code of Ethics for Professional Accountants also should be revised timely in line with the international standards.