What are the Threats to Auditors independence?

Some threats to an auditors independence are as followed:

• Self-interest threat - when the auditor on the engagement team could benefit in some way or form (financially for example) with the client

• Familiarity threat - when the auditor has some form of a close relationship with the client (be it the top management or employees, or the firm) which may cause them to be generous and sympathetic when assessing the client

• Intimidation threat - when the auditor is deterred from acting in an objective, professional manner as a result of threats (real or not) from the client

• Self-review threat- when the auditor is hired to review/evaluate any product or judgment that they themselves were responsible for preparing (from a previous engagement) in order to reach a conclusion
• Advocacy threat - when the auditor promotes the client (their business, the client themselves, etc) to the point that objectivity may be (perceived) to be impaired