Audit · Quality Assurance

Peer Review Auditor for practices that meet ICAI standards.

ICAI-mandated peer review of chartered accountancy practices — evaluating audit methodology, documentation standards, quality control systems, and compliance with Standards on Auditing to help your firm earn and maintain its peer review certificate.

The Institute of Chartered Accountants of India mandates peer review for all CA firms engaged in statutory audit of public interest entities. The peer review programme is designed to ensure that CA firms in India maintain appropriate quality control systems, follow Standards on Auditing, and produce audit documentation that meets the standards the profession demands.

A peer review is not a disciplinary process — it is a quality improvement exercise. The peer reviewer evaluates the firm's quality control policies and procedures, assesses engagement files for compliance with SAs, and identifies areas where practices, documentation, or methodology can be strengthened. A firm that addresses findings proactively emerges stronger and more defensible to regulators.

At NDS Advisors, our peer review team includes qualified peer reviewers empanelled with ICAI. We conduct peer reviews for firms seeking their first peer review certificate, those undergoing renewal reviews, and those seeking to self-assess their readiness before the formal ICAI review. We also assist firms in implementing recommendations from prior peer reviews.

Our Peer Review Auditor Services

ICAI Peer Review Conduct

Formal peer review of CA firms as empanelled peer reviewers — evaluating quality control systems and engagement files in accordance with ICAI Peer Review Board requirements.

Pre-Peer Review Readiness Assessment

Independent readiness assessment before the formal ICAI peer review — identifying gaps in documentation, methodology, and quality control policies.

Quality Control Manual Design

Drafting or updating the firm's Quality Control Manual in line with SQC 1 (Standard on Quality Control) and ICAI requirements.

Engagement File Review

Review of selected audit engagement files for compliance with Standards on Auditing — covering planning, risk assessment, evidence, and reporting documentation.

SQC 1 Implementation

Assistance in implementing the Standard on Quality Control 1 across the firm — covering leadership, ethical requirements, client acceptance, engagement performance, and monitoring.

Peer Review Finding Remediation

Support in addressing findings and recommendations from a completed ICAI peer review — updating policies, documentation templates, and team training.

Audit Methodology Documentation

Designing and documenting the firm's audit methodology — standardised programmes, checklists, and workpaper templates aligned to ICAI Standards on Auditing.

Continuing Professional Education Support

Designing CPE programmes for firm personnel covering Standards on Auditing, ethical requirements, and quality control — meeting ICAI CPE hour requirements.

Our Process

Firm Profile & Scope Setting

Understanding the firm's size, client portfolio, practice areas, and prior peer review history — to define the review scope and select representative engagement files.

Quality Control System Review

Review of the firm's QC manual, independence policies, client acceptance procedures, engagement performance standards, and monitoring practices.

Engagement File Assessment

Assessment of selected engagement files across audit categories — evaluating planning, risk assessment, evidence, supervision, and reporting documentation against applicable SAs.

Findings & Discussion

Discussion of preliminary findings with firm leadership — distinguishing matters requiring immediate attention from longer-term improvement areas.

Report & Certificate

Issuance of the peer review report with findings, recommendations, and — where applicable — the peer review certificate confirming the review has been completed.

Why It Matters

✓Achieves and maintains ICAI peer review certification

✓Identifies methodology and documentation gaps before ICAI review

✓Strengthens the firm's quality control systems and policies

✓Improves engagement file standards across all audit teams

✓Reduces risk of disciplinary findings from ICAI inspections

✓Builds client confidence in the firm's professional standards

✓Supports firm growth by demonstrating quality commitment

✓Provides a roadmap for continuous quality improvement

Frequently Asked Questions

ICAI peer review is a quality review programme mandated by the Institute of Chartered Accountants of India for CA firms that conduct statutory audits of public interest entities — including listed companies, banks, insurance companies, and other prescribed entities. Firms must obtain a peer review certificate before accepting or continuing such engagements.

The peer reviewer assesses two main areas: the firm's quality control system (policies and procedures covering leadership, ethics, client acceptance, human resources, engagement performance, and monitoring) and a sample of engagement files (assessing compliance with Standards on Auditing for planning, risk assessment, evidence, and reporting).

SQC 1 is the Standard on Quality Control issued by ICAI that requires CA firms to establish and maintain a system of quality control for all services covered by the SAs. Peer review specifically assesses whether the firm has implemented SQC 1 effectively. Firms without an adequate QC system are likely to receive adverse findings in their peer review.

Adverse findings do not automatically lead to disciplinary action. The firm is required to address the findings within a specified period and may be subject to a follow-up review. Firms that proactively address findings and demonstrate improvement are generally in good standing with the Peer Review Board.

Peer review is currently required every three years for firms in the first level of the programme. The frequency may vary based on the firm's category and the Peer Review Board's applicable schedule. Firms should track their renewal dates carefully to avoid gaps in certification.

Yes. We offer a pre-peer review readiness assessment that evaluates your firm's quality control system and engagement files against the criteria the ICAI peer reviewer will apply — identifying gaps and helping you address them before the formal review. This significantly reduces the risk of adverse findings and makes the formal review process smoother.

Prepare your practice for peer review with confidence.

Talk to our peer review team about readiness assessments, QC manual design, and engagement file review for your CA firm.