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my understanding is Emphasis of matter paragraph and material uncertainty related to going concern paragraph both relate to drawing attention to matters which are already mentioned in the f/s. Both do not modify the audit opinion.
What is the difference between the 2.
You are correct.
The difference is that if there are material uncertainties as to going concern this must be mentioned in a paragraph with that title. Any other matter disclosed in the FS to which the auditors want to draw attention must be in an EoM paragraph.
Eg the auditors spent some time worrying about inventory valuation or the profit to be taken on construction contracts: that goes into KAMs.
There might be some matters which are not regarded as KAMs but which the auditor wants to draw members’ attention to in the FS notes. However, this will be rare now. EoMs have been considerably downgraded in their incidence.
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