SwedenFAR
FAR grant-review Q&A stresses matching the engagement and report
FAR distinguishes agreed-upon procedures from assurance and explains how auditors should handle grant-provider templates and requests to sign financial reports.
By Taxxa AI OyPublished 25 August 2026
FAR’s Q&A says the appropriate standard for reviewing grants depends on the engagement. Agreed-upon procedures use ISRS 4400; an assurance engagement with sufficiently clear grant and reporting terms may instead call for ISAE 3000 or ISA 800/805. The Q&A is practical support and does not form part of FAR’s formal recommendations or statements.FAR
For ISRS 4400 work, the report should describe objective findings without implying assurance or the auditor’s own conclusions. FAR advises discussing misleading wording with the grant provider. A provider’s template should be checked against the applicable standard and adjusted where necessary; refusal to make essential changes may affect whether the engagement can be performed.FAR
FAR also warns that signing the recipient’s financial report can misrepresent the auditor’s responsibility. In cases of uncertainty it advises against signing that report, favouring a separate review report; the reviewed financial report can be attached to identify its version. This is a qualified recommendation, not an unconditional ban on every signature.FAR
Agree the procedures, reporting standard and wording with the grant provider before accepting the engagement.