Enhancing Compliance and Coherence in Financial Audits
We are pleased to share that on the 15th of July, the European Commission published the Indicative Audit Programme for the EU Programming Period 2021 – 2024. This is a significant release for beneficiaries, auditors, consultants, and financial managers involved in EU-funded projects. This first version of the IAP 2021-2024 provides a comprehensive reference for how the European Commission expects financial statements to be audited, ensuring coherence, transparency, risk awareness and methodological guidance for the Financial Auditing and Management of EU Grants.
Key Highlights of the Indicative Audit Programme
The newly released Indicative Audit Programme is a vital resource for anyone managing or overseeing such projects. It outlines the principles of risk analysis and risk-based sampling and audit planning, and the standards that auditors will use to manage the audit of the beneficiaries’ financial statements. Here are some key aspects:
- Quality Audit Transparency: The IAP clarifies the EC audit quality standards, helping beneficiaries understand what to expect if selected for an audit.
- Compliance Guidelines: It provides understanding of the criteria of assessing the compliance with all relevant cost eligibility rules and other aspects of the EU Grants’ Financial Management.
- Uniform Standards: The programme promotes uniform auditing standards across all EU-funded projects, fostering reliable and equitable assessments.
- Preparation Tools: Beneficiaries can use this programme as a preparatory tool, enabling them to improve their financial control systems to align their financial management practices with EC expectations.
For more detailed information, you may access the Indicative Audit Programme here.
Why This Matters for Your Project
Staying informed about the latest audit guidelines is crucial for the successful administration of EU-funded projects. By understanding the risk-focused criteria set forth in the Indicative Audit Programme, you can better prepare for audits, ensuring your EU projects remain compliant and your budget secure.
Boost Your Skills
Given the importance of these updates, there is no better time to enhance your understanding of the domain. Our course on Financial Administration & Auditing Preparation for E.C. Funded Projects is designed to equip you with the expertise needed to navigate the complexities of EU funding and audits.
This course will cover:
- EU Funding as a tool of the EU Budget – what is it and what are Grants in it?
- Sound financial management principles in EU Grants management, according to the EU Financial Regulation.
- Understanding your Grant Agreement obligations on Financial Management
- The importance of the pre-auditing risk analysis of the EC audits
- The logic of the cost eligibility requirements
- Budgeting and reporting of an EU Grant:
- How to identify the cost categories and subcategories of an EU Grant
- How to identify eligible and non-eligible costs
- How to document project finance
- How to monitor and control budget vs. execution
- Specific guidance on the calculation of personnel costs
- Specific guidance on other direct costs management and reporting
How to liaise with the EC auditors in the best of your interest.
Don’t miss this opportunity to stay ahead in your field and ensure your project’s success. Learn more about our Financial Administration & Auditing Preparation for EC Funded Projects course and reserve your seat for any upcoming session of your choice here.
