Welcome to Professionalism

Issue 48

APESB Board & Staff wish you a wonderful festive season
and a Happy New Year.

Our last eNewsletter for 2025 provide updates on our activities and technical projects for October to December 2025.

APESB publishes its 2024/2025 Annual Report

APESB has marked 2024–25 with exceptional national and global impact by leading the way on key ethical standards developments in Australia and contributing significantly to the global ethical and independence standards landscape.

APESB's key highlights and achievements for 2024/25 included:  

• Global first: Approved the new Australian Ethics and Independence Standards for Sustainability Assurance and Reporting, supporting Australia’s transition to mandatory sustainability reporting and assurance.
• Tax Planning Amending Standard: Released new guidance to strengthen the ethical behaviour of tax practitioners, becoming the second jurisdiction in the world to adopt the IESBA global tax planning standard.
• Pronouncements: Issued 2 Compiled Codes, 10 revised pronouncements, 4 exposure drafts, and a revised prohibition guidance document.
• Global leadership: APESB CEO Channa Wijesinghe contributed as IESBA Board Member and Vice Chair, participating in 5 Board meetings and 97 IESBA-related engagements.
• Australian IESBA outreach: Supported IESBA initiatives on Sustainability and Firm Culture & Governance.
• Trans-Tasman collaboration: Deepened work with NZAuASB on Sustainability and IESBA submissions.
• Ethics advocacy: CEO keynote at the University of Sydney’s Pacioli Society Dinner, promoting the profession’s vital role in upholding ethics and public trust.
• Engagement: Presented at 8 conferences and events, and 6 webinars on topical ethical developments.
• National submissions: Contributed to the Tax Practitioners Board, Treasury, and AUASB consultations.

APESB thanks its members and stakeholders for their wonderful support, which enabled the Board to deliver on its Strategy and Work Plan in the public interest.

Explore the Annual Report to see how APESB’s work contributes to strengthening trust and upholding ethics in the accounting profession.

New Compiled Code of Ethics and prohibitions guidance

On 6 November 2025, APESB issued a new compiled APES 110 Code of Ethics for Professional Accountants (including Independence Standards). The compiled Code incorporates the restructured Code issued in November 2018, and all eleven Amending Standards issued up until July 2025, including the new Sustainability Amending Standard (effective 1 January 2026). 

Members should note the compiled Code contains footnote references that the Corporations Act 2001 specifies that the sustainability assurance engagement should be performed by the entity's auditor (who also performs the financial statement audit). ASIC have subsequently released FAQs which set out a different position to the footnotes. Further details on this matter are set out in a Technical Alert issued by APESB.

APESB have also issued an updated prohibitions guidance document APES 110 Code Prohibitions applicable to Audit, Review and Sustainability Assurance Engagements, November 2025.

Read the Compiled Code, the Compilation Details, the Technical Alert, and the Revised Prohibitions Document.

The Ethical Use of Artificial Intelligence (AI)

On 31 October 2025, APESB issued a Technical Alert on the ethical use of Artificial Intelligence (AI) by professional accountants, reinforcing that accountants must continue to meet their ethical obligations under the Code and applicable professional standards when using AI.

Ethics Re-envisioned: Developments in APESB Standards for Sustainability and AI

For Global Ethics Day, on 14 October 2025. APESB published an online article: Ethics Re-envisioned: Developments in APESB Standards for Sustainability and AI. For APESB, “Ethics Re-envisioned” is about exemplary ethical behaviour in a rapidly evolving business world, ensuring that ethical standards remain robust and relevant and reinforcing the foundation of trust and integrity that underpins the accounting profession in Australia.

APESB December 2025 Board Meeting

APESB held its quarterly Board meeting on 4 December 2025. The Board considered updates on recent activities undertaken for APESB projects on: 

• the development of a new professional and ethical standard addressing conformity with Sustainability Reporting Standards; 
• the review of APESB Pronouncements for the impact of Sustainability and AI, with an initial focus on forensic accounting and valuation services; and 
• the review of APESB's Guidance on Audit Partner Rotation. 

The Board received an update on the IESBA Firm Culture and Governance Project, including the final draft of IESBA's eight viewpoints, and noted ASIC's Report 817 on auditors' compliance with independence and conflicts of interest obligations. 

In a video clip posted on LinkedIn, Channa Wijesinghe, APESB’s CEO, provides an overview of key decisions made and projects discussed at this meeting, or you can read the highlights of the December 2025 Board meeting here.

International Developments

IESBA Board Meetings

The IESBA held a Board Meeting in person in New York between 8-12 December 2025. APESB CEO Channa Wijesinghe attended the meeting in his capacity as an IESBA's Vice Chair. 

During the meeting, the IESBA delivered several meaningful approvals that will shape its work and stakeholder engagement in the period ahead. Key decisions included: 

• Approval of the IESBA Viewpoints on Firm Culture and Governance, which will guide stakeholder engagement as the IESBA considers a potential future framework.
• Advancement of a new partnership framework to support institutions around the world in strengthening ethics-related capacity.
• A decision to develop guidance in 2026 to support audits of Collective Investment Vehicles and Pension Funds.
• Approval, together with the IAASB, of a global survey to gather stakeholder perspectives on emerging trends and challenges, informing its next strategy.
• Introduction of the SMART Framework — a practical tool to strengthen clarity, focus, and responsiveness in how the IESBA supports adoption and implementation. 

Click here to read the Board Meeting Papers.

The next IESBA Board meeting will be held on 9-12 March 2026 in New York.

Confederation of Asian and Pacific Accountants (CAPA) 

On 6 November 2025, APESB CEO and IESBA Vice Chair Channa Wijesinghe participated in a CAPA webinar on Ethics in a Changing Landscape, during which he addressed IESBA’s revised strategy and work plan and provided an update on current IESBA projects.

Hong Kong Regional Regulatory Forum 2025

On 10 November 2025, APESB CEO and IESBA Vice Chair Channa Wijesinghe participated in a panel on Governance Matters: Enhancing Trust in Capital Markets at the Annual Hong Kong Regional Regulatory Forum 2025. The panel was moderated by HK AFRC Chairman Dr David Sun and also included the Hong Kong Exchange Chairman Carlson Tong and PwC Global Chairman Mohamed Kande.

Hong Kong Institute of Certified Public Accountants (HK CPA)

On 11 November 2025, APESB CEO and IESBA Vice Chair Channa Wijesinghe delivered a presentation to the Hong Kong Institute of Certified Public Accountants (HKICPA) on IESBA Perspectives on Sustainability Ethics and Firm Culture & Governance.

Recent APESB Presentations

Online Panel Discussion with New Zealand XRB

On 1 October 2025, APESB CEO Channa Wijesinghe participated in an online panel discussion with the New Zealand XRB on their consultation on sustainability assurance, ethics, and independence in sustainability, and the use of external expert. Click here to watch the recording. 

CPA Australia's Forensic & Financial Investigations Discussion Group

On 29 October 2025, APESB CEO Channa Wijesinghe delivered a presentation to CPA Australia’s Forensic & Financial Investigations Discussion Group. The presentation covered the IESBA Code, Technology-related revisions, the ethical implications of Artificial Intelligence (AI) in accounting, Tax Planning, Sustainability, the IESBA’s project on Firm Culture and Governance, as well as APESB’s new project to review its pronouncements to consider the impact of Sustainability and AI. 

IPA Executive Management Program 2025

On 13 November 2025, APESB CEO Channa Wijesinghe delivered a presentation for the IPA Executive Management Program 2025 at the APESB office. The presentation covered the APESB’s role and mandate, the structure of APESB pronouncements, the IESBA Code, Technology-related revisions, the use of Artificial Intelligence (AI), Tax
Planning and Related Services, and Sustainability. Read the slides here.

CA ANZ Sustainability Conference 2025

On 25 November 2025, APESB CEO Channa Wijesinghe delivered an update via a video recording for the CA ANZ Sustainability Conference 2025. The APESB update session highlighted key APESB developments relating to Sustainability and the new AESSA. Read the slides here.

APESB submission on Public Governance, Performance and Accountability Amendment (Ban Unethical Contractors) Bill 2025

On 12 December 2025, APESB made a submission to the Senate Finance and Public Administration Committees' consultation on its inquiry into Public Governance, Performance and Accountability Amendment (Ban Unethical Contractors) Bill 2025. APESB is supportive of the Australian Government considering mechanisms that promote professional and ethical behaviours and will uphold the public interest. However, APESB is unable to provide commentary on likely penalties for unethical behaviour, as this matter falls outside the scope of APESB’s mandate.

Office Closure

The APESB office will be closed from 5pm Friday 19 December 2025 and will reopen at 9.00am on Monday 12 January 2026.