Public accountants are professionals who have great responsibilities in the exercise of their functions, in addition to having to have the knowledge and experience in their area of action, they must know and apply a code of ethics.
I ask you colleague, have you studied and apply the code of ethics that regulates your professional performance?
I hope with much hope that the answer in most cases is a beautiful and responsible YES, but if the answer is no, or a more or less, I want to remind you of the following aspects, and encourage you to do it as soon as possible.
This guild worldwide is numerous and important, the institution in charge of its representation at the international level is The International Federation of Accountants (IFAC) Founded in 1977, the mission of IFAC is to serve the public interest, continuously strengthening the accounting profession around the world and contributing to the development of strong international economies by establishing and promoting the observance of high-quality professional standards, promoting the international convergence of these standards and taking a stand in the public interest wherever the experience of the profession is most relevant.
Headquartered in New York USA, IFAC is comprised of more than 167 members and associates in more than 127 countries worldwide, representing approximately more than 2.5 million accountants in independent practice, industry and commerce, the public sector and education, this institution is in charge of issuing, through the council of International Standards of Ethics for Accountants, the code of ethics that all public accountants must manage and apply in their professional performance.
This institution seeks a regulatory framework on personal quality and behavior, made up of the ethical part and the training of the public accountant, the IFAC code of ethics for the accountant is designed in three parts A, B and C, and a series of definitions.
In the first part we are going to get everything concerning the general application of the code, where we will find 5 fundamental principles forcing the accountant to be frank and honest in all their professional and business relationships, as well as not compromising their professional or business judgment because of of prejudice, conflict of interest or undue influence of third parties.
The accountant must Maintain professional knowledge and skills at the level necessary to enable clients, or the entity for which he works, to receive competent professional service, and Act diligently, in accordance with applicable technical and professional standards, when they provide professional services.
Also in this part of the code of ethics it is very clear that this professional must refrain from disclosing outside the entity for which they work, confidential information obtained as a result of professional and business relationships, except for what is legally established, likewise should not use confidential information obtained as a result of professional and business relationships for your own benefit or that of third parties.
Regarding professional behavior, the following is highlighted: when carrying out marketing and promotional actions for themselves and their work, accounting professionals will not question the reputation of the profession. Accounting professionals will be honest and sincere and will avoid making exaggerated claims about the services they offer, about their training, or about the experience they possess, or making derogatory mentions or baseless comparisons regarding the work of others.
This is a fact that I have actually had to witness in practice, and it really outrages me, but apparently this is not very important for some "colleagues", I think that nothing is as unethical as speaking ill of another to take away a customer, as well as placing street ads and the like, offering their services as if it were a product on sale, with prices below the market average.
In part B of the code we can get aspects related to the accounting professionals in practice, this refers to the professional appointment, acceptance of the client, orders, changes in appointment, conflicts of interest, second opinions, fees, marketing of professional services, gifts and invitations, Custody of a client's assets, objectivity and independence in all services.
And in part C of the code we can find the reference to accounting professionals in the company, made up of topics related to possible conflicts that may occur working for a company, in these cases the accounting professional in the company is expected to support the legitimate and ethical objectives established by the entity and the rules and procedures designed to serve as a basis for said objectives.
We will also find what refers to the preparation and presentation of information, in this topic it dictates that the accountant will prepare or present said information faithfully and honestly and in accordance with the applicable professional standards in order to make the information intelligible in its context and compliance with applicable financial reporting standards.
The accountant is obliged to undertake only important tasks for which he has or can obtain sufficient specific training or experience. Likewise, you will not intentionally mislead an employer regarding your level of expertise or experience, nor will you stop seeking advice and help from an expert when you need it, note that asking for help is an ethical act in many cases, this It is a fact that we must reflect as professionals, many times the ego makes us act in an unfavorable way.
An interesting aspect for all is the fact that they characterize the circumstances that create a threat to the accounting professional in the company in relation to carrying out their tasks with the appropriate degree of competence and professional diligence, these include the following:
- Lack of sufficient time to adequately perform or complete the corresponding tasks.Have incomplete, restricted or inadequate information for other reasons to adequately perform their tasks.Lack of sufficient experience and practical and / or theoretical training Not having the necessary resources to adequately perform his homeworks.
As for the financial interests of the accountant or members of his immediate family or close relatives, this code dictates that threats may arise in relation to compliance with the fundamental principles. For example, objectivity or confidentiality, if there is a reason and the opportunity to manipulate information that may affect prices in order to profit, or in other similar aspects, in these situations, the importance of any threat will be evaluated and, When necessary, safeguards will be applied to eliminate it or reduce it to an acceptable level.
Regarding the incentives that the accountant or a family member could receive tells us that they can receive incentive offers, but the situation will be evaluated, because a self-interest threat may arise in relation to objectivity or confidentiality, This is if the incentive is intended to unduly influence acts or decisions, to encourage illegal or dishonest behavior, or to obtain confidential information, that is, it must be evaluated whether these situations are a threat in relation to compliance with the fundamental principles.
As public accountants we have great responsibilities in the society that we must face, this is a reality that we must fully assume and for this we must train and act according to our code of ethics, I invite you to take good care of the prestige of our union through your actions, Respect and value this beautiful and important profession, it shows that you are worthy to say proudly, I am a public accountant and as such acted.
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Author: Lcdo. Michael Aular - Micdan Consulting Twiter: @Micdanconsultin
