Assessment is the alternative to reasonable assurance introduced in March 2025. A SEBI circular dated 28 March 2025 renamed the approach column from Data and Assurance to Data and Assessment or Assurance, clarifying that an entity may obtain either reasonable assurance or a third-party assessment under Industry Standards Forum standards.
Until March 2025 the BRSR Core requirement was described in terms of assurance alone. The position has since widened, and older guidance does not reflect it.
What changed
SEBI circular SEBI/HO/CFD/CFD-PoD-1/P/CIR/2025/42 dated 28 March 2025 renamed the approach column of the format from Data and Assurance to Data and Assessment or Assurance. The effect is that an in-scope entity may satisfy the requirement in one of two ways.
The two routes
- Reasonable assurance. The higher assurance bar, involving extensive testing, larger samples, evaluation of internal controls and a positive form of conclusion.
- Third-party assessment. Carried out under standards developed by the Industry Standards Forum in consultation with SEBI.
What has not changed
The independence requirement applies to either route. The provider must be free of any conflict of interest with the listed entity, and must not sell products or provide non-audit or non-assurance services to the entity or its group. Widening the route did not relax that condition.
Why the distinction matters when reading a filing
Two entities in the same tier may have taken different routes, so the words used in a filing should be read precisely. An assessment is not reasonable assurance, and a limited assurance engagement satisfies neither where reasonable assurance or assessment is required. Should SEBI revise the position further, the latest SEBI circular governs.
Sources: SEBI circular, 28 March 2025
The BRSR guide covers assurance, assessment and independence. BRSR reporting services prepares the data file for an independent provider.