Internal Auditing Standards for the Government of Canada
This standard replaces:
1.1 To define the internal auditing standards to be met by all departments subject to the Policy on Internal Audit.
2.1 The Treasury Board has delegated to the Comptroller General the authority to issue standards relating to the implementation of the Policy on Internal Audit and the responsibility to determine the professional standards for internal auditing in the federal government.
3. Effective Date
3.1 These standards take effect on October 1, 2012 for all internal audit reports approved by the deputy head on or after this date.
4.1 IIA Standards
4.1.1 The International Professional Practices Framework, published and maintained by the Institute of Internal Auditors (IIA), contains a definition of internal auditing, the Code of Ethics and the International Standards for the Professional Practice of Internal Auditing (IIA Standards).
4.1.2 The Government of Canada has adopted the IIA International Professional Practices Framework and departments are required to meet the IIA Standards in undertaking their internal auditing responsibilities, unless the Standards are in conflict with the Treasury Board Policy on Internal Audit or any related directives or standards in which case the Policy, directives or standards will prevail.
4.2 Internal Auditing Standards for the Government of Canada
4.2.1 The Internal Auditing Standards for the Government of Canada are composed of the IIA Standards and the following standards:
18.104.22.168 Communication of results of internal audit engagements includes written reports. The final report shall be in written form. Internal audit reports must be posted on departmental web sites, in a timely manner, in both official languages and must respect the Access to Information Act.
22.214.171.124 Internal audit engagement reports must:
- Clearly state the engagement's objective(s), scope and context by describing the area that has been examined, how it fits into the organization, its importance, and the relevant laws, policies and standards;
- Clearly identify risks and recommendations for improvement to be addressed by management;
- Identify the criteria used in the engagement;
- State a conclusion against the objective;
- Include a statement of conformance; and
- Internal audit reports must also include a management response to recommendations. A management response would generally include a brief summary of the management actions including key or significant elements of the management action plan where appropriate.
126.96.36.199 Internal audit reports are to be presented to the audit committee with minimum delay. Completed reports are defined as those that have been recommended for approval by the audit committee and approved by the deputy head or Comptroller General, as appropriate.
4.3 Statement of Conformance
4.3.1 As part of a Quality Assurance and Improvement Program, a practice inspection must be conducted at least once every five years and include conformance with the Policy on Internal Audit for the Government of Canada, its associated directive, and the Internal Auditing Standards for the Government of Canada.
4.3.2 A statement of conformance may be included in the internal auditor's written report if the results of a fully implemented quality assurance and improvement program support the statement. In those cases, the report may state that the audit "conforms with the Internal Auditing Standards for the Government of Canada, as supported by the results of the quality assurance and improvement program".
4.3.3 In cases where a quality assurance and improvement program has not been fully implemented the report may indicate that "the audit was conducted in accordance with the Internal Auditing Standards for the Government of Canada. A practice inspection has not been conducted."
5.1 The consequences as described in section 7 of the Policy on Internal Audit will apply to these standards.
6.1 The references as outlined in section 8 of the Policy on Internal Audit will apply to these standards.
7.1 For questions on these standards, please contact TBS Public Inquiries:
Telephone: (613) 957-2400
Toll free: 1-877-636-0656
TTY: (613) 957-9090
Fascimile: (613) 941-4000
Treasury Board of Canada Secretariat
Strategic Communications and Ministerial Affairs
L'Esplanade Laurier, 9th Floor, East Tower
140 O'Connor Street
Ottawa, Ontario K1A 0R5