Agreed-Upon Procedures, Procedures For Auditing European Grants

To enhance the credibility of the information provided to different categories of users, entities make use of services provided by a financial auditor. Thus, auditing also applies to EU-funded projects, being an obligation of the Beneficiary of the project, and it is performed in accordance with ISRS 4400 “Engagements to perform agreed-upon procedures regarding financial information". This standard has a wide scope including, besides the audit of EU-funded projects, the verification of accounts receivable, accounts payable, a financial statement or even a complete set of financial statements. The audit of EU-funded projects is an audit based on agreed-upon procedures, which are established by the Managing Authority or the Intermediate Body. Agreed-upon procedures can be defined as engagements made in accordance with ISRS 4400, applicable to agreed-upon procedures, where the auditor undertakes to carry out the agreed-upon procedures and issue a report on factual findings. The report provided by the auditor does not express any assurance. It allows users to form their own opinions about the conformity of the expenses with the project budget as well as the eligibility of the expenses.