Accountant Professional Code of Ethics

This time we will discuss the professional code of ethics for an accountant in the accounting field.


Accounting profession ethics is the science that discusses human behavior or good deeds as far as the human mind can understand to work which requires training and mastery of certain knowledge as an accountant.


As mentioned above, this ethic governs how accountants do their jobs. Without a code of conduct, an accountant can be dismissed immediately.


Because in the accounting profession, scandals that go against the code of ethics are a big problem.


That is why the Indonesian Accounting Association (IAI) issued a code of conduct that accountants must comply with.


There are eight basic principles of accounting profession ethics that must be understood by every accountant who carries out his work.


Table of contents :

Professional Ethics in Accounting

  1. Integrity
  2. Technical Standards
  3. Professional Behavior
  4. Professional Responsibilities
  5. Public Interest
  6. Confidentiality
  7. Objectivity

Competence & Professional Prudence

Objectives of the Accounting Profession

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Professional Ethics in Accounting

  1. Integrity

In order to maintain and enhance public trust, each member must fulfill his or her professional responsibilities with the highest possible integrity.


Integrity requires members to be honest and straightforward without compromising the secrets of service recipients.


Public service and trust must not be defeated by private gain. Integrity can accept unintentional mistakes and honest differences of opinion, but does not accept fraud or dispossess principles.


  1. Technical Standards

Every activity is required to follow relevant technical standards and professional standards.


In accordance with his expertise prudently, an accountant has an obligation to perform assignments from service recipients, as long as the assignment must be in line with the principles of integrity and objectivity.


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Professional technical standards and standards that must be adhered to by members are standards issued by the Indonesian Institute of Accountants (IAI),


International Federation of Accountants, regulatory / regulatory bodies, and relevant statutory arrangements.


  1. Professional Behavior

Each member must behave consistently with a good professional reputation and stay away from actions that could discredit the profession.


The obligation to stay away from behavior that can discredit the profession must be fulfilled as a manifestation of its responsibility towards service recipients, third parties, other members, staff, employers, and the general public.


In an effort to market and promote themselves and their jobs, professional accountants are not advised to defame the profession. Accountants must have an honest and trustworthy attitude.


  1. Professional Responsibilities

accountant professional ethics


An accountant in carrying out his responsibilities as a professional, must always use moral and professional considerations


on all activities that the members have a responsibility to their service users and responsibility


to work with fellow members to develop the accounting profession and maintain public trust.


All of these efforts are necessary to maintain and enhance professional traditions.


  1. Public Interest

Professional accountant members are obliged to act in the context of serving the public, respecting public trust and showing professionalism.


One of the characteristics of the profession is the acceptance of responsibility to the public. The accounting profession also plays an important role in society.


The public meaning of the accounting profession includes clients, government, credit providers, employees. Investors, the business world and other parties who depend on the integrity and objectivity of accountants in maintaining an orderly business function.


  1. Confidentiality

The principle of confidentiality requires every accountant not to do the following:


Disclose confidential information obtained from professional relationships and business relationships to parties outside the accounting firm or organization where the accountants work without sufficient and specific authority, unless they have a legal or professional right and duty to disclose such confidentiality.

Using confidential information for personal or third party gain. Information is obtained through professional relationships and business relationships.

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  1. Objectivity

Each member must maintain objectivity and be free from conflicts of interest in fulfilling their professional obligations.


Objectivity is the quality that provides value to the services provided by members.


The principle of objectivity requires members to be fair, impartial, intellectually honest, not prejudiced, and free from conflicts of interest or under the influence of other parties.


Competence & Professional Prudence

The principles of professional competence and prudence require each member of the accountant to:


Maintain the necessary professional knowledge and expertise to insure employers (clients receive professional and competent service.

Act diligently and carefully in accordance with the applicable technical and professional services when providing professional services.

Objectives of the Accounting Profession

The aim of the accounting profession is to fulfill its responsibilities with the highest standards of professionalism, to achieve the highest levels of performance, with an orientation to the public interest.


Four basic requirements that must be met:


Credibility – People need credibility of information and information systems.

Professionalism – Individuals who can be clearly identified by users of accounting services as accounting professionals.

Quality of Service –  There is a belief that all services obtained from accountants are provided with high performance standards.

Trust – Users of accountants should be sure that there is a professional ethical framework that underlies the provision of services by accountants

The objectives of the accounting profession code of ethics include:

To improve the quality of professional organizations.

To maintain and maintain the welfare of members.

To uphold the dignity of the profession

To improve the quality of the profession.

To improve the services of members of the profession

Elevate service above personal benefits.

Has a strong and well-established professional organization.

Set standard standards

Professional ethics in accounting really needs to be considered by every accountant to avoid things that are not desirable.

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