What's New (Dec, 2012)

December 28,2012

In association with the Tokyo Stock Exchange and Osaka Stock Exchange, JICPA’s committee on professional accountants in business (“PAIB”) conducted a survey to assess the demand for professional accountants in business among company executives of listed companies.

The survey was conducted from October 22 to November 22, and the total of 767 companies (approximately 21.5% of the listed companies) responded to the survey. The results of the survey revealed the need for establishing economic infrastructure for CPAs to be employed in companies as well as in local and governmental offices. Particularly, it uncovered that, like many other countries in Europe and North America, from the perspective of ensuring trust in financial information in securities markets and maintaining good corporate governance in listed companies, it would be necessary to consider a system of appointing experienced CPAs as treasurers or audit committee members of companies.

In future, JICPA plans to present its views on how professional accountants in business should be in Japan, by further analyzing the results of the survey and having exchange meetings with related parties.

December 28,2012

JICPA published, on December 5, 2012, a summary report of the Quality Control Committee, related to its review for the six months ended September 30, 2012.

The JICPA quality control review, as prescribed by the JICPA Constitution, is performed for audits conducted by audit firms engaging in audits of listed companies, public interest entities and other certain entities under the CPA Act, in order to maintain and improve the quality of audit practices and to ensure public trust in audits.

As the revised "Quality Control Review Standard" and "Quality Control Review Procedures" have been effective from October 1, 2012, the summary report includes matters that were effective before the revision.

Prior to the publication, the same report was submitted for approval to the Quality Control Oversight Board composed of five non-CPAs and three CPAs on November 21, 2012 by the Quality Control Committee. The report is available in Japanese only.

December 28,2012

An animated cartoon (Japanese Anime), “A new classmate is aiming to become a CPA!” was published by JICPA, in a bid to promote further understanding of the work of CPAs among younger generations.

Drawing on a new idea and a technique of Japanese Anime production to introduce day-to-day management of the work of CPAs and audit engagements, the new animated film was produced to present the importance of the work of CPAs for healthy functioning of the society and to attract more students to consider their career in accounting.

December 28,2012

With the discussion of the new auditing standard on fraud continues at the Business Accounting Council (BAC) of the Financial Services Agency (FSA), the special symposium entitled “Considering the standards for addressing fraud risks in an audit –Recent Developments and Future Directions” was held at JICPA headquarters on November 7, 2012.

In the first part of the symposium, recent developments in the discussion of the standards for addressing fraud risks in an audit was presented by the FSA, and in the second part, Mr. Shozo Yamazaki, Chairman and President of JICPA, introduced JICPA’s response to the draft report on the standards published by the BAC. The symposium was followed by a panel debate led by representatives from the FSA, business and academic communities, and　audit firms.

December 3,2012

JICPA issued, on December 3, 2012, annual activity report in brief 2011/12.

 The report provides an overview of key activities undertaken by JICPA, together with its financial summary for the period April 1, 2011, through March 31, 2012.

The report can be obtained from: JICPA_annualreport_20121130.pdf