The EU Audit reform legislation entered into force on 16 June 2014 in the European Union.
The EU Audit reform legislation entered into force on 16 June 2014.
There is a two year transition period which means that the legislation is expected to become applicable in the 28 Member States of the European Union on 17 June 2016.
The regulation requires minimum standards to be adhered to, with individual member states being permitted to adopt more restrictive requirements in many cases – ‘member state options’ (e.g., shorter period before mandatory rotation is necessary, wider prohibition on non-audit services).
There are still a number of points that remain to be finalized and the transition will take some time. Please do not hesitate to contact your local KPMG office or KPMG contact with any additional queries.
Mandatory Firm Rotation for Public Interest Entities and Transition Arrangements