The organisational framework for the development of auditing in China evolved from government audit, internal audit and public audit institutions and subsequently provided the focus for services offered by the certified public accounting firms. By the mid 1990s, China's independent auditing standards were being issued, incorporating the General Independent Auditing Standard, specific auditing standards and practice pronouncements. The standards, while largely modelled on international standards, nevertheless reflected China's unique transition to a market economy. However, there are a number of issues in the public accounting profession in China that have yet to be resolved, to ensure the application of auditing standards that are in line with international norms. These issues revolve around professional competence, independence, ethical standards and auditing practice. Nevertheless, with an established credible auditing standards framework in place and the ongoing upgrading of educational and training standards of CPAs, the profession in China is heading in the right direction.
- Accounting standards