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6.6 Self-review threat 
General other
services
Valuation services
Internal audit
services
Other services
SELF-REVIEW THREAT
Recent service
with assurance client
Preparing accounting
records and financial statements
Corporate
finance
Tax
services
The key area in which there is likely to be a self-review threat is where an assurance firm provides 
services other than assurance services to an assurance client (providing multiple services). There is a 
great deal of guidance in the ACCA rules about various other services accountancy firms might provide to 
their clients, and these are dealt with below. 
The distinction between listed companies, or public limited companies, and private companies is 
perceived to be an important issue in the question of providing other services to clients. 
Public interest companies 
are those that for some reason (size, nature, product) are in the 'public eye'. 
Auditors should treat these as if they are listed companies. 
6.6.1 Recent service with an assurance client 
Ethical guidance focuses on individuals who have been a 
director or officer of the client
, or an employee 
in a position to exert 
direct and significant influence
over the subject matter information of the 
assurance engagement in the period under review or the previous two years to the assurance team. 
If an individual had been closely involved with the client prior to the time limits set out above, the assurance 
firm should consider the threat to independence arising and apply appropriate safeguards, such as: 

Obtaining a quality control review of the individual's work on the assignment 

Discussing the issue with the audit committee 
6.6.2 General services 
For assurance clients, accountants are not allowed to: 

Authorise, execute or consummate a transaction 

Determine which recommendations should be implemented 

Report in a management capacity to those charged with governance

Having custody of an assurance client's assets, supervising client employees in the performance of their 

normal duties, and preparing source documents on behalf of the client also pose significant self-review 
threats which should be addressed by safeguards. These could be: 

Ensuring non-assurance team staff are used for these roles 

Involving an independent professional accountant to advise 

Quality control policies on what staff are and are not allowed to do for clients 

Making appropriate disclosures to those charged with governance 

Resigning from the assurance engagement 
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