The name kind of speaks for itself.
In summary, the IASB has been looking into auditor feedback that audit requirements are too extensive for more basic entities, such as QBCC.
So they issued a discussion paper to look into it.
In short, auditors want LCE's to become standard and they want guidance from IASB.
They need to come up with a definition, and then put the guidance out.
The AUASB page - https://auasb.gov.au/implementation-support/audits-of-less-complex-entities/
The below was copied from the AUASB survey into the issue.
The International Auditing and Assurance Standards Board(IAASB) published a Discussion Paper, Audits of LessComplex Entities: Exploring Possible Options to Address the Challenges in Applying the International Standards onAuditing (ISAs) seeking to further understand the challenges of using the ISAs in audits of less complex entities.To gather evidence from Australian auditors for this project, the AUASB conducted a survey of stakeholders to obtain views on the key challenges they face on audits of LCEs and the proposed solutions to respond to the challenges.
The AUASB received 145 responses.
111 were practitioners with 32 (22%) from large global or national network sand 67 (46%) from a regional firm or sole practitioners.
Approximately 24% of practitioners had a client base where more than 90% of the engagements would be considered as a Less Complex Entities.
Other stakeholders who responded(23%) included those charged with governance, academics, regulators and financial statement users.
