Financial Crime World

Tunisia’s Professional Accountancy Standards Face Challenges

Aligning with International Best Practices

Tunisia, a country in North Africa, is working to harmonize its professional accountancy standards with international best practices. While progress has been made, there are still areas that require improvement.

Overview of Professional Accountancy Organizations

Two main organizations are responsible for Chartered Accountants and Professional Accountants in Tunisia:

  • Ordre des Experts Comptables de Tunisie (OECT): Oversees Chartered Accountants
    • Requirements include completing a five-year accounting program, passing a national exam, and fulfilling practical experience requirements
  • Compagnie des Comptables (CCT): Oversees Professional Accountants

Challenges in Aligning with International Education Standards

There are concerns about the alignment of national IPD and CPD requirements for all professional accountants in Tunisia with those of the latest International Education Standards (IES).

Auditing Standards

Tunisia has adopted International Standards on Auditing (ISA) as issued by the IAASB. The OECT:

  • Translates ISA into French
  • Sets up a task force to address significant changes

Ethics

Each professional accountancy organization in Tunisia establishes its own ethical requirements, subject to approval from the Ministry of Finance. For example:

  • OECT: Adopts the IESBA Code of Ethics
  • CCT: Has its own Code of Professional Duties
  • Companies Law: Contains some ethical provisions that are more restrictive than those in the 2016 NOCLAR standard

Public Sector Accounting Standards

The Ministry of Finance is responsible for adopting public sector accounting standards under the Public Accounting Code Law No. 73-81. Current standards are national and based on a cash-basis, but plans are underway to move to an accrual-basis by 2025.

Investigation and Discipline Procedures

Investigation and discipline procedures for professional accountants in Tunisia are carried out by professional accountancy organizations:

  • OECT’s Control Committee: Ensures compliance with professional standards
  • Disciplinary Chamber: Handles cases of non-compliance

The Compagnie des Comptables (CCT) is also responsible for ensuring that its members comply with professional standards and obligations, but it is unclear if it has established an I&D system that aligns with SMO 6 requirements.

Financial Reporting

The Law 96-112 establishes the Conseil National de la Comptabilité (CNC), which reviews and issues accounting standards subject to approval by the Ministry of Finance. The CNC plans to adopt International Financial Reporting Standards (IFRS) for public interest entities by 2023 and for all other companies by 2025.

Conclusion

While Tunisia has made progress in aligning its professional accountancy standards with international best practices, there are still areas that require improvement.