The Ramsay Report and the Regulation of Auditor Independence in Australia

Abstract

This paper provides an overview of key recommendations contained in the Ramsay Report (2001), “Independence of Australian Company Auditors”, vis‐à‐vis current Australian requirements and the overseas developments on which they are based. Specific reference is made to the United States Securities and Exchange Commission “Rules on Audit Independence”, released in November 2000, and the proposals contained in the International Federation of Accountants Ethics Committee's re‐exposure draft, “Independence—Proposed Changes to the Code of Ethics for Professional Accountants”, released in April 2001.