Internal Audit and External Audit Cooperation in EU Countries

Abstract

There is no common requirement guiding the approaches taken by the European Union (EU) public sector internal audit cooperation with external audit. Relations between these audit systems have developed over time. There are countries with mandatory regulations of internal and external audit cooperation, in some cases cooperation bases on initiatives, to facilitate the auditing process and avoid duplication of work. The aim of this research is to compare the Latvian public administration internal audit and external audit cooperation approach with approaches of the European countries and evaluate each country’s internal audit relation with external audit. The methodology includes a comparative study of European countries’ public sector internal audit external audit cooperation from European Union Compendium report, researchers’ reports, the existing normative acts, analysing cases and other scientific findings. The main results of the study will highlight where improvements might be required or where changes are necessary.

JEL codes: M42