ADOPTION OF A REVISED CODE OF ETHICS FOR PROFESSIONAL ACCOUNTANTS IN THE PHILIPPINES

WHEREAS, Republic Act No. 9298, otherwise known as the Philippine
Accountancy Act of 2004 provides in Article II, Section 9 the Powers and
Functions of the Board of Accountancy among which are:

Section 9 (a) To prescribe and adopt the rules and regulations necessary for carrying out the provisions of this Act;

Section 9 (f) To prescribe and/or adopt a Code of Ethics for the practice of accountancy, and

Section 9 (g) To monitor the conditions affecting the practice of
the accountancy and adopt such measures, including promulgation of
accounting and auditing standards, rules and regulations and best
practices as may be deemed proper for the enhancement and maintenance of
high professional, ethical, accounting and auditing standards:
Provided, That domestic accounting and auditing standards, rules and
regulations shall include the international and auditing standards and
generally accepted best practices standards profession and whenever
necessary, adopt such measures as may be deemed proper for the
enhancement and maintenance of high professional, ethical and technical
standards.

WHEREAS, the confidence and patronage of the stakeholders in a
certified public account ant depend not only upon his competence and quality of service rendered resulting from his
acquisition of updated technical knowledge and skills but most of all,
upon his integrity as a professional;

WHEREAS, it is necessary for certified public accountants to adhere
to a code of professional ethics which provides for the maintenance of
high standards of competence and integrity and in order for them to have
a clear concept of and commitment to their obligation to their profession, to their clients or employers, to the colleagues in the
profession and to the public;

WHEREAS, the present Code of Ethics for Professional Accountants in
the Philippines was adopted in November, 2003 and made effective on
January 1, 2004 but in 2005, the International Federation of Accountants
already issued a Revised Code of Ethics for Professional Accountants
and moreover, since 2004, the year of the effectivity of the Present
Code of Ethics for Professional Accountants in the Philippines, there
were many developments that affected the accounting profession that the
present code is no longer responsive to the requirements of the
profession;

WHEREAS, on April 19, 2008, the Philippine Institute of Certified
Public Accountants (PICPA) after due consultation with its members and
other affected parties adopted the Code of Ethics of the International
Federation of Accountants (June, 2005 as revised in April, 2008) for
application to all its members, with specific amendments to consider the
Philippines condition and such adoption is shown by the resolution of
the PICPA Board of Directors attached^[*] herein and made an integral part hereof.

WHEREAS, the Professional Regulatory Board of Accountancy reviewed
the aforesaid Code of Ethics of the International Federation of
Accountants and found it to be appropriate to cover all certified public
accountants in the Philippines because it is more responsive to the
requirements of the accounting profession;

NOW, THEREFORE, the Professional Regulatory Board of Accountancy
hereby adopts and implements the aforesaid Code of Ethics of the
International Federation of Accountants, as amended as the Revised Code
of Ethics for all Professional Accountants in the Philippines (who
include all Certified Public Accountants in the Philippines) and
accordingly, repeals Board Resolution No. 83, Series of 2003 (dated
November 25, 2003) entitled: Adoption of a New Code of Ethics for Certified Public Accountants.

This Resolution shall take effect after fifteen (15) days following
its full and complete publication in the Official Gazette, or in any
newspaper of general circulation in the Philippines.

Adopted: 30 June 2008

(SGD.) EUGENE T. MATEO Chairman
(SGD.) JOHN S. BALA Vice Chairman
(SGD.) FROILAN G. AMPIL Member	(SGD.) MA. ELENITA B. CABRERA Member
(SGD.) RUFO R.MENDOZA Member	(SGD.) LUCILA C. TARRIELA Member
Attested:
(SGD.) CARLOS G. ALMELOR Secretary, Professional Regulatory Boards
Approved:
(SGD.) LEONOR TRIPON-ROSERO Secretary
(SGD.) RUTH RAÑA- PADILLA Commissioner	(SGD.) NILO L. ROSAS Commissioner

 

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^[*] Text Available at Office of the National Administrative Register, U.P. Law Complex, Diliman, Quezon City