Pre-Engagement Phase
• Assessing compliance with ethical standards and independence requirements
• Defining the scope of the engagement to address both financial reporting and compliance obligations
• Understanding the specific regulations governing HOAs and how they affect audit procedures
• Establishing engagement terms and responsibilities with stakeholders

Planning Phase
• Integrating the revised ISA 315 and ISA 330 into the risk assessment process
• Identifying key audit risks relevant to HOAs, including governance and budgeting risks
• Designing tailored audit procedures to address both financial and compliance requirements
• Documenting the audit plan and strategy to ensure alignment with the HOA’s unique operations

Finalisation Phase
• Reviewing and validating audit evidence to ensure sufficiency and proper documentation
• Preparing the audit report in accordance with ISA requirements and addressing any compliance matters
• Reporting significant findings and deficiencies to those charged with governance
• Ensuring readiness for IRBA inspections by documenting audit quality thoroughly

Brief discussion of income tax considerations and how they apply to HOAs