Widening the scope of mandatory applicability of Audit Quality Maturity Model (AQMM)
In partial modification of the Announcement dated 11th August 2025 hosted at https://resource.cdn.icai.org/87517caq-aps1943.pdf a clarification is hereby issued that the mandatory AQMM review shall be applicable to Practice Units undertaking audits of the holding/subsidiary/associates/ joint ventures of listed entity or banks other than Co-operative banks (except multi-state co-operative banks) or insurance companies which are subject to Peer Review.
The Revised Announcement should therefore be read as under:
At present the Audit Quality Maturity Model is mandatory for Firms auditing the following entities excluding the Firms conducting only branch audit:
- A Listed Entity
- Banks other than Co-Operative banks (Except multi- state Co-operative banks)
- Insurance Companies
The scope of mandatory applicability of AQMM version 2.0 has now been widened and accordingly AQMM v. 2.0 has been made mandatory in a phased manner for the following categories of firms:
