A Comparative Study on the Norms that Regulate Determining the Signification Threshold in Romania and Spain

The present study refers to the signification threshold, as a basic element which influences the development and quality of the whole financial audit process. At the beginning of this article we have determined the way in which have been taken over the ifs of the Directive 2006/43/EC regarding the taking over of the International Audit Standards in the national legislation in Romania and Spain. Next, I have realised a comparative analyses between the International Audit Standards referring to the signification threshold which is applied in Romania and the Technical Audit Norms which are applied in Spain, analyses where I have identified a series of differences. I have also underlined the news that is introduced by the International Audit Standards compared to the Technical Audit Norms in Spain regarding this theme.

In the end of the article it is stated that adopting clarified ISA is not enough to improve the way of determining the signification threshold and it is underlined the necessity of appearing some regulations which would guide the auditors in framing the professional reasoning and establishing at least some minimum limits, which will lead to establishing a more homogenous signification threshold.