Abstract:Revenue is a key indicator for stakeholders to evaluate the financial status and operating performance of companies. The implementation effect of the New Revenue Standard has also become the focus of both academia and practical circles. Taking the implementation of the new revenue standard revised in 2018 in A+H listed companies as the research opportunity, this paper empirically tests the impact of the new revenue standard on audit fees by selecting 2017—2019 data of China’s A share listed companies. We find that the implementation of the New Revenue Standard increases the audit fees paid by companies. Mechanism tests indicate that the above results are mainly due to the increase of material misstatement risks and audit input. Heterogeneity test results show that the positive relationship between the New Revenue Standard and audit fees is more pronounced in companies greatly affected by the New Revenue Standard, with internal control weakness and audited by large-scale accounting firms. Additionally, the New Revenue Standard not only increases the audit fees, but also improves the audit quality to a certain extent. The conclusion of this paper enriches the relevant literature in the field of economic effect of the New Revenue Standard, and also has enlightenment significance for auditors to strengthen professional competence, improve audit work and control audit risk in the context of the implementation of the New Revenue Standard.