Ethical Considerations in Use of Technology

Welcome to this edition of the Genuine Learning Blog, where we delve into the increasingly important topic of ethical considerations in the use of technology. With the rapid advancement and adoption of artificial intelligence and various emerging technologies in accounting, there has been a surge in requests for guidance on navigating the intersection of tech and ethics. Both the AICPA and IESBA are clearly attuned to this growing demand, having recently released valuable documents to assist professionals in this area.

To begin, we can look at the update to TQA Section 400.02, released in March of this year. This update builds upon the August 2025 guidance and offers practical insights for members who are leveraging technology as part of their services. The central question addressed is whether there are factors that help practitioners determine if the output generated by technology—whether developed internally or externally—meets the standards set out in the AICPA’s General Standards Rule. This applies not just to those in public practice but also to professionals in business and industry.

What’s crucial to note from this TQA is that while technology is not being banned or discouraged, there is a heightened expectation that professionals will use their judgment in determining the appropriateness of technology outputs. The updated guidance emphasizes that, when explicit professional standards do not cover the use of technology, members are expected to consider factors such as the nature of the activity, the intended use of the output, whether the technology has been adequately tested and evaluated, previous experience with the technology, and the level of oversight and controls within the organization. For those in public practice, existing guidelines already necessitate thoughtful consideration of technology, primarily under the quality management standards (SQMS).

Beyond U.S.-centric guidance, IESBA has made significant strides in providing a global perspective with the release of a characteristics-based approach to ethical considerations. Their July 2026 publication and the earlier December 2024 code revisions focus on the challenges that emerging technologies pose, emphasizing matters such as ethics and governance. These updates consider issues like opacity, non-determination, dependence on data quality, perpetual adaptivity, autonomy, scalability, and speed, all of which can significantly impact both the effectiveness and ethical implications of technology use.

IASBA’s framework is built around five fundamental ethical principles and encourages practitioners to recognize how technology characteristics can introduce or amplify ethical threats, such as self-review, self-interest, familiarity, and advocacy threats (with the U.S. using the comparable term “undue influence” rather than intimidation). Helpful appendices in these IESBA resources provide concrete examples, walk through specific types of AI, and illustrate how these considerations can be documented and integrated into professional judgment.

Additionally, IESBA released a user-friendly snapshot in June 2026, designed to clarify the purpose and principles underpinning this guidance. This non-technical overview reaffirms that the essential ethical principles remain relevant, regardless of whether work is performed manually or aided by technology. This snapshot also highlights IESBA’s practical and principles-based approach, rather than setting out prescriptive, tool-specific rules, an approach necessitated by the rapid pace of technological change.

In summary, as technology evolves and permeates more aspects of accounting and auditing, professionals are encouraged to remain vigilant. The existing ethical frameworks, supplemented with updated resources from both AICPA and IESBA, offer substantial guidance for ensuring that technology is used both responsibly and effectively, safeguarding independence and upholding trust. By integrating these considerations into your documentation and daily practice, you can confidently navigate this dynamic landscape while maintaining the highest ethical standards.