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SA 620 – Using the Work of an Auditor


This SA deals with the auditor’s responsibilities regarding the use of expert work (individual or organization) other than accounting or auditing, which will oblige obtaining sufficient and appropriate audit evidence.

Auditor’s responsibility
The auditor has sole liability for the audit opinion expressed in the audit report, which isn’t diminished by the auditor’s use of the work of an auditor’s expert. For example, suppose the auditor using the expert work concludes that the work of that expert is sufficient for the auditor’s purposes. In that case, the auditor may accept the expert’s finding and conclusion as appropriate audit evidence.

Auditor’s objective
Following are the auditor’s objectives:

  • The auditor shall regulate whether to use the work of an auditor’s expert in the audit of FS.
  • If the auditor uses an expert’s work, the auditor shall determine if that work is adequate for the auditor’s purpose.

Nature, timing, and extent of audit procedures
To determine the nature, timing, and extent (NTE) of audit procedures associated with expert’s work, the auditor shall considered the following matters including:

  • Nature of the subject that relates to the expert’s work.
  • Risk of material misstatement (ROMM)
  • The significance of auditor’s expert work to the audit
  • Auditor’s knowledge of and experience with the result that the auditor’s expert previously performed.
  • Whether that expert is subject to the auditor’s firm quality control policies & procedures as per SA 220.

Reference in the Auditor’s Report about Auditor’s Expert
Reference to the auditor’s expert work shouldn’t be made in an auditor’s report containing an unmodified opinion unless required by rules or regulation. If such reference is:

  • Required by law or regulation or
  • Relevant to an understanding of a moderation to the auditor’s opinion, then

The auditor should identify in the auditor’s report that the references don’t reduce the auditor’s responsibility for the audit opinion

Some other requirements related to auditor’s expert work



Competence, capabilities, and objectivity

Auditors should evaluate the expert’s competence, objectivity, capabilities (COC) for the auditor’s purposes. With respect to the auditor’s external expert, the objective evaluation includes inquiry concerning interest and relationships that may generate a threat to that expert’s objectivity.

Understanding of the field of expertise

The auditor should acquire a sufficient understanding of the following:

  • Nature, scope, and objectives of expert’s work.
  • Estimate the adequacy of expert work for audit purposes.

Agreement with expert work

The auditor should agree in writing the following:

  • Nature, scope, and objectives of the expert work
  • Respective roles and responsibility
  • Nature, timing, and communication (NTC) between the auditor and expert
  • The form of the report to be issued by expert
  • Need for the expert to notice confidentiality requirements

Adequacy of auditor’s expert work

The auditor should estimate the sufficiency of the auditor’s expert work, including:

  • Relevance and reasonableness of the auditor’s expert finding or conclusion.
  • Consistency with other audit evidence.
  • Significance and reasonableness of any significant assumptions or methods used
  • Accuracy, completeness, and significance of source data, if any, used

Insufficient expert work

If the auditor believes that the expert’s work is not adequate, then:

  • Determine the nature and extent of additional work to be performed by the expert
  • Perform further audit procedures suitable to the situation

SA 620 also assigns the requirements and application of the aspects relating to determining the need for an auditor’s expert, agreement with the auditor’s expert, evaluating the sufficiency of the auditor’s expert’s and scarce to the auditor’s expert in the auditor’s report.

At AJSH, we assist our clients in dealing with internal audits, government audits, various corporate matters (Company incorporations, statutory audits, ROC Compliance, company winding-up) in India by providing them adequate support and guidance from our end. If you have any questions or wish to know more about using the work of an auditor, kindly contact us.


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