Document background
An Audit Engagement Withdrawal Letter is a critical document used when an audit firm needs to formally terminate its professional services before the completion of an audit engagement. Under UAE law, particularly Federal Law No. 12 of 2014 and related regulations, audit firms must follow specific procedures when withdrawing from an engagement. This document is typically used when circumstances such as scope limitations, independence issues, or significant disagreements arise that prevent the continuation of the audit. The letter must carefully balance professional obligations, regulatory requirements, and risk management considerations while maintaining professional courtesy. It serves as both a legal record and a practical guide for concluding the engagement, particularly important in the UAE's highly regulated business environment where audit relationships are closely scrutinized by regulatory authorities.
