THE EVOLUTION OF THE AUDITING PROFESSION IN TURKEY: THE UNION OF CHAMBERS OF CPA’S AND SWORN-IN CPA’S (TURMOB) HISTORY AND BACKGROUND

Abstract

This paper focuses on the historical developments of independent auditing and the audit profession in Turkey. The study will also discuss the pros and cons of the currently expanding scope of the independent audit, under laws and regulations like the Turkish Commercial Code, amongst others. The first independent auditing activities to emerge in Turkey were around the 1960s and were for various reasons, such as the country benefiting from foreign credit sources. The first auditing company to open in Turkey was Arthur Andersen, in 1975. The first comprehensive regulations concerning auditing in capital markets entered into force in 1987 and were made by the Capital Markets Board (CMB) and the Regulations on External Auditing in the Capital Market. Moreover, the basic principles and rules related to auditing were arranged with Communiques and entered into force in 1987 and 1988. It is understood that the development of independent auditing activities occurred as a natural consequence of economic developments across various sectors.

Keywords

• Auditing profession in Turkey, union of professional chambers.