Financial Reporting Act 2013

External Reporting Board, standards, and provisions that apply to other enactments - Standard provisions relating to auditor qualifications and access to information - Auditor qualifications

36F: Body corporate must ensure that engagement director is qualified auditor

You could also call this:

"A company doing audits must have a qualified auditor in charge of the audit work."

Illustration for Financial Reporting Act 2013

If you are a body corporate acting as an auditor, you must make sure your engagement director is a qualified auditor. You can find out what makes someone a qualified auditor in section 36(1) of the Financial Reporting Act 2013. Your engagement director is the person in your company who is in charge of the audit and the audit report.

When you are acting as an auditor, your engagement director is responsible for the audit and making sure it is done properly. They are also responsible for the report that is issued after the audit is finished. You need to ensure this person is a qualified auditor under the rules set out in the Financial Reporting Act 2013.

You can read more about the rules for auditors in section 36(1)(e), (f), or (g) of the Financial Reporting Act 2013. This will help you understand what you need to do to make sure your engagement director is qualified. It is your responsibility to ensure your engagement director meets the requirements.

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This page was last updated on 3 October 2025

View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM6520473.

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36E: Institute, accredited bodies, and approved associations must keep recognition under review, or

"Groups that recognise auditors must regularly check they still meet the requirements."

36G: Recognised body corporate must not act if requirements no longer met, or

"Stop being an auditor if you don't meet the rules anymore"

Part 2External Reporting Board, standards, and provisions that apply to other enactments
Standard provisions relating to auditor qualifications and access to information: Auditor qualifications

36FBody corporate must ensure that engagement director is qualified auditor

If a body corporate (A) referred to in section 36(1)(e), (f), or (g) is appointed or is acting as the auditor of a specified entity or of its financial statements, A must ensure that each engagement director is a qualified auditor under any of paragraphs (a) to (d) of section 36(1).
In this section, engagement director, in respect of an audit where A is appointed or is acting, means the director or other person in A who is responsible for the audit and the performance of the audit and for the audit report that is issued on behalf of A.

Notes

Section 36F: inserted, on 1 July 2015, by section 8 of the Financial Reporting Amendment Act 2014 (2014 No 64).