Ethics update in 10 minutes

The video provides a recap of what is changing in the code of ethics and other professional standards for 2025 and what is coming in 2026 and beyond. Here are some related links if you would like to delve deeper into some of the changes.

• Codes of Ethics 
• Sharing Knowledge on AI, Tax Planning changes and Sustainability - your practice
• Sharing Knowledge on AI, Tax Planning changes and Sustainability - professional standards
• Client Monies – information and link to NAB help sheet
• Please note the IESBA approved code changes for experts and sustainability on 5 December, they also agreed to commence a project for Firm Culture and Governance
• Elements of a Ethical Culture – see Slide 12 
• Prohibitions List 

Please feel free to provide feedback if you found this helpful. Email: [email protected]

Code of Ethics

Members in Australia are required to observe the Australian Professional and Ethical Standards Board's APES 110 – Code of Ethics for Professional Accountants (including Independence Standards.

Member conduct in New Zealand is governed by the NZICA Code of Ethics.

Members in New Zealand undertaking assurance and related services engagements must also comply with the XRB’s PES 1 Code of Ethics for Assurance Practitioners (including Independence Standards).

These Codes and relevant professional standards are used to assess a member’s professional conduct in the event of a complaint by a client or third party.

A failure to meet the requirements may result in disciplinary proceedings. Therefore, there is a significant duty imposed on members to ensure they comply with the Codes and standards.

The fundamental principles in the Codes are:

• Integrity: Be honest and straightforward in all professional and business relationships.
• Objectivity: Avoid the impact of biases, conflict of interest, undue influence, or reliance on others or technology on your professional or business judgement and decision-making.     
• Professional competence and due care: Maintain professional knowledge and skill to serve your clients or employing organisation competently, and apply your knowledge and skills diligently. This includes keeping up to date with professional, business and technology-related developments and professional and technical standards.
• Confidentiality: Respect the right of your current, past or prospective clients and employers to have all information kept secure, private and confidential. The only exceptions are if there is a legal or professional duty or right to disclose confidential information, or disclosure is authorised by your client or employer. 
• Professional behaviour: Comply with laws and regulations relevant to where you live, behave in a way consistent with your responsibility to act in the public interest, and do not behave in a way that reflects badly on you, your business or employer and the profession.

Access the Codes online

The Codes outline the standard expected of members in:

Public Practice

• Professional appointments
• Conflicts of interest
• Second opinions
• Fees and other remuneration
• Engagement quality review
• Inducements including gifts and hospitality
• Custody of client’s assets
• Responding to non-compliance with laws and regulations

Business

• Conflicts of interest
• Preparation and presentation of information
• Acting with sufficient expertise
• Financial interests, compensation and incentives linked to financial reporting and decision making
• Inducements including gifts and hospitality
• Responding to non-compliance with laws and regulations
• Pressure to breach the fundamental principles

Professional Standards

Professional Standards adhere to the principles of the Codes of Ethics and provide more specific requirements and guidance that members must comply with in specific areas of practice.  As the areas of practice and requirements addressed by the Professional Standards are jurisdiction specific, use the link under Standard Setters below to access the standards for your location. Professional Standards cover topics such as: 

• Terms of Engagement
• Client Monies
• Risk and Quality Management
• Compilation of Financial information
• Specialist services:  Taxation, Valuation, Forensic Accounting, Insolvency, Financial Planning, Corporate Services
• Conformity with Accounting and Auditing and Assurance Standards.

Standard setters for Australia (and other members resident outside NZ)

The Accounting Professional and Ethical Standards Board (APESB) sets the Code of Ethics and Professional Standards for Chartered Accountants ANZ, CPA Australia and IPA members.

The standards apply wherever members are located, except when prevented from so doing by specific requirements of local laws and/or regulations.

Standard setters for New Zealand

The New Zealand Regulatory Board of the New Zealand Institute of Chartered Accountants (NZICA) sets the professional and ethical standards (including a Code of Ethics) applicable to members resident in New Zealand.

Members in New Zealand undertaking assurance and related services engagements must also comply with the XRB’s professional and ethical standards (including PES-1).

Global Standard Setters

The International Ethics Standard Board for Accountants (IESBA) sets the Code of Ethics for Professional Accountants (including Independence Standards). This Global Code forms the basis of local codes in Australia and New Zealand.