110.1 A1 There are five fundamental principles of ethics for professional accountants:
R110.2 A professional accountant shall comply with each of the fundamental principles.
110.2 A1 The fundamental principles of ethics establish the standard of behaviour expected of a professional accountant. The conceptual framework establishes the approach which an accountant is required to apply to assist in complying with those fundamental principles. Subsections 111 to 115 set out requirements and application material related to each of the fundamental principles.
110.2 A2 A professional accountant might face a situation in which complying with one fundamental principle conflicts with complying with one or more other fundamental principles. In such a situation, the accountant might consider consulting, on an anonymous basis if necessary, with:
- Others within the firm or employing organisation.
- Those charged with governance.
- A professional body.
- A regulatory body.
- Legal Counsel.
However, such consultation does not relieve the accountant from the responsibility to exercise professional judgment to resolve the conflict or, if necessary, and unless prohibited by law or regulation, disassociate from the matter creating the conflict.
110.2 A3 The professional accountant is encouraged to document the substance of the issue, the details of any discussions, the decisions made, and the rationale for those decisions.