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dc.description.abstractPURPOSE: This study analysed the benefits and drawbacks of materiality disclosures in Maltese statutory auditing from the perspective of Maltese auditors, whilst measuring and explaining their resistance to such disclosures. Recommendations on the location, method, content and regulation of materiality disclosures were also elicited from Maltese auditors. DESIGN: A predominantly quantitative two-phase explanatory sequential mixed-methods research design was employed to achieve the objectives of the study. A questionnaire was first administered to Maltese auditors. Subsequently, the data collected by the questionnaire was analysed in detail and used to formulate the interview schedule which was used to conduct eleven semi-structured interviews with big-four and non-big-four audit partners in Malta. FINDINGS: The drawbacks of disclosing materiality in Maltese statutory audit reports greatly outweighed any potential benefits that might be reaped. It was confirmed that Maltese auditors generally resist disclosing materiality mainly due to its drawbacks. In addition to not disclosing materiality publicly, Maltese auditors rarely disclosed it to their clients, although some did so reluctantly. Materiality disclosures in the audit report should be avoided because the local market is not sufficiently mature and knowledgeable. Maltese auditors saw no scope for materiality disclosures for non-listed entities. CONCLUSIONS: Materiality disclosures in Maltese statutory auditing would have far more drawbacks than benefits and should therefore be avoided. Positively, restricting such disclosures to the Audit Committee of PIEs as per Article 11(2)(h) of EU Regulation No. 537/2014 limits their drawbacks and may stimulate meaningful discussions. VALUE: The findings enabled a template for materiality disclosures to the Audit Committee of PIEs in Malta as per Article 11(2)(h) of EU Regulation No. 537/2014 to be proposed. Several recommendations were also put forward.en_GB
dc.subjectCorporations -- Malta -- Auditingen_GB
dc.subjectMateriality (Accounting)en_GB
dc.subjectAuditing -- Maltaen_GB
dc.titleThe implications of materiality disclosures in Maltese statutory auditingen_GB
dc.rights.holderThe copyright of this work belongs to the author(s)/publisher. The rights of this work are as defined by the appropriate Copyright Legislation or as modified by any successive legislation. Users may access this work and can make use of the information contained in accordance with the Copyright Legislation provided that the author must be properly acknowledged. Further distribution or reproduction in any format is prohibited without the prior permission of the copyright holder.en_GB
dc.publisher.institutionUniversity of Maltaen_GB
dc.publisher.departmentFaculty of Economics, Management and Accountancy. Department of Accountancyen_GB
dc.contributor.creatorDemanuele, Ryan
Appears in Collections:Dissertations - FacEma - 2016
Dissertations - FacEMAAcc - 2016

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