Document background
The Audit Proposal is a critical document used when an audit firm seeks to establish or renew an audit engagement with a client in Australia. It serves as the foundation for the audit relationship, outlining how the audit firm will meet its obligations under the Corporations Act 2001 and Australian Auditing Standards. The proposal typically follows a statutory requirement for audit services or a voluntary request for audit assurance. It includes comprehensive details about the audit approach, team composition, timeline, fees, and professional commitments while addressing specific client needs and industry requirements. The document must demonstrate compliance with Australian regulatory frameworks, including ASIC requirements and professional standards, while establishing clear terms of engagement between the parties.
