What type of services can be provided without impairing auditor independence?

Compilation services can be provided without impairing auditor independence because they do not involve the auditor expressing an opinion or any form of assurance on the financial statements. In a compilation engagement, the auditor assists management in presenting financial information in the form of financial statements but does not verify the accuracy or completeness of the information provided. This means that the auditor's objectivity and independence are maintained since the auditor is not making any judgments about the appropriateness of the financial information, nor are they taking on management responsibilities.

In contrast, attestation services involve the auditor providing some level of assurance about a subject matter, which could compromise independence if there are conflicting interests. Auditing services inherently require a degree of assurance and independence must be preserved carefully during these engagements. Tax advisory services may also introduce potential conflicts of interest, especially if the auditor is advising on tax positions that could be subject to audit.