{"id":1098,"date":"2026-09-30T10:05:00","date_gmt":"2026-09-30T08:05:00","guid":{"rendered":"https:\/\/www.controlaudit.es\/?p=1098"},"modified":"2026-10-14T09:39:47","modified_gmt":"2026-10-14T07:39:47","slug":"revised-nia-es-570-going-concern","status":"publish","type":"post","link":"https:\/\/www.controlaudit.es\/en\/blog\/revised-nia-es-570-going-concern\/","title":{"rendered":"Revised NIA-ES 570: how the going concern assessment is changing"},"content":{"rendered":"
In brief<\/b>NIA-ES 570 (Revised 2024), which governs how the auditor assesses going concern, has not been approved as at the date of this update<\/strong>: the Spanish Institute of Accounting and Auditing (ICAC) put it out for public consultation by Resolution of 16 July 2026 (BOE of 7 August 2026). In the meantime, the current NIA-ES 570 applies. The international version strengthens the review of management’s forecasts, so it is advisable to have cash flow forecasts ready now and, if there are financial pressures, a viability plan.<\/div>\n

Regulatory status as at the date of this update:<\/strong> standard out for public consultation, with no final approval and no application date in Spain. This article will be updated when the ICAC publishes the approval resolution.<\/p>\n

Few things worry a director as much as reading a reference to going concern in the auditor’s report. With some industrial sectors in the province under pressure, it is worth understanding what the auditor assesses, what may change with the new standard and what management can prepare. This article is part of our series on ICAC and NIA-ES developments for the 2025 and 2026 audits<\/a>.<\/p>\n

Status of NIA-ES 570 (Revised 2024)<\/h2>\n

The ICAC Resolution of 16 July 2026, published in Spain’s Official State Gazette (BOE) no. 192 of 7 August 2026, puts out for public consultation NIA-ES 570 (Revised 2024), “Going Concern”, together with conforming amendments to 22 other NIA-ES, including 200, 315, 700, 701, 705 and 706. Comments could be submitted for two months from the day after publication, to the ICAC or to the professional bodies representing auditors.<\/p>\n

The resolution sets no date of entry into force or application. After the comment period, the ICAC will have to publish a final approval resolution. As at the date of this update, there is no ICAC announcement of approval. Therefore, the current NIA-ES 570 (Revised) applies today; it was amended in January 2026 together with other reporting standards.<\/p>\n\n\n\n\n\n\n\n\n
Aspect<\/th>\nToday (current NIA-ES 570)<\/th>\nWhen the revision is approved (pending)<\/th>\n<\/tr>\n<\/thead>\n
Status<\/td>\nMandatory<\/td>\nDraft out for public consultation; final text and date to be confirmed<\/td>\n<\/tr>\n
Assessment by management<\/td>\nThe auditor evaluates management’s assessment of the ability to continue<\/td>\nForeseeably, a more demanding evaluation of methods, assumptions and data, as in the international standard<\/td>\n<\/tr>\n
Period considered<\/td>\nThe one set by the current standard<\/td>\nThe international standard extends the horizon; the Spanish approach is yet to be confirmed<\/td>\n<\/tr>\n
Auditor’s report<\/td>\nSpecific section if there is a material uncertainty<\/td>\nForeseeably, more transparency about the work performed<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

What going concern means in an audit<\/h2>\n

Unless there is evidence to the contrary, annual accounts are prepared on a going concern basis: it is assumed that the entity will continue operating for the foreseeable future. Management is responsible for assessing whether that basis is appropriate and for disclosing significant uncertainties in the notes to the annual accounts.<\/p>\n

The auditor obtains evidence on whether the use of that basis is appropriate and whether there is a material uncertainty about the entity’s ability to continue. The consequences for the report depend on the conclusion:<\/p>\n