• Introduction to Interpretations by the Council Relative to the Rules of Professional Conduct
• IC 104.1 Requirement to Co-operate
• IC 105.1 Hindrance, Inappropriate Influence and Intimidation
• IC 201.1 Maintenance of Reputation of Profession
• IC 201.4 Advocacy Services
• IC 202 Integrity and Objectivity
• IC 204.1 to 204.6 Independence
• IC 204.6 Firms to Ensure Compliance by Partners and Professional Employees
• IC 204.7 Members Acting as Trustee Under the Bankruptcy and Insolvency Act or as Liquidator Receiver or Receiver/Manager
• IC 204.8 Disclosure of Impairment of Independence - Professional Services Other than Assurance or Specified Auditing Procedures and Insolvency Engagements
• IC 204 Canada Elections Act
• IC 205 False or Misleading Documents and Oral Representations
• IC 206.1 to 206.3 Compliance with Professional Standards
• Glossary: IC 207 through 210
• IC 208 Confidentiality of Information
• IC 209 Borrowing from Clients
• IC 210 Conflict of Interest
• IC 211 Duty to Report Breach of Rules of Professional Conduct
• IC 212.1 Handling of Trust Funds and Other Property
• IC 214 Fee Quotations
• IC 215 Contingent Fees
• IC 216 Payment or Receipt of Commissions
• IC 217.1 Advertising and Promotion
• IC 217.2 Solicitation
• IC 217.3 Endorsements
• IC 218 Retention of Documentation and Working Papers
• IC 302 Communication with Predecessor
• IC 303 Cooperation with Successor
• IC 401 Practice Names
• IC 404.2 Operation of Members' Offices

Independence - Disclosure of Impairment of Independence

Professional services, other than assurance or specified auditing procedures and insolvency engagements

204.8/1  Members and firms who provide a professional service which does not require the member or firm to be independent are required by Rule 204.8 to disclose any activity , interest or relationship which, in respect of the professional service, would be seen by a reasonable observer to impair the member's or firm’s independence. Members and firms should refer to Rules 204.1 to 204.7 and the related Council Interpretations when determining whether they must be independent and would appear to be independent with respect to particular engagements.

204.8/2  Such disclosure is required whether or not any written report or other communication is provided and should indicate the nature of the activity or relationship and the nature and extent of the interest. Any written communication concerning or accompanying financial statements or financial or other information must include such disclosure.

204.8/3  Independence is not required for compilation engagements. Where the provider of the compilation service may be seen to be lacking independence, the disclosure requirement of Rule 204.8 applies.

204.8/4  For the purposes of Rule 204.8 the preparation of accounting records or journal entries in connection with a compilation engagement is not an activity that requires disclosure in the Notice to Reader unless such preparation involves complex transactions as contemplated by paragraph 143 of the Council Interpretations to Rule 204.1 to 204.6.

204.8/5  Tax return services may require disclosure in respect of some of the information filed with the return. If the return is simply the assembling and reporting of information provided by the taxpayer, then the member or firm involved has simply processed that information and disclosure should not be necessary.

204.8/6  Members and firms are cautioned that disclosure under Rule 204.8 does not relieve them from their obligation to comply with the rules of professional conduct and in particular Rules 201, 202, 205 and 206.

The next Council Interpretation is 204/20.

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