Statutory Audit
StatutoryAudit
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Statutory Audit
About
Statutory Audit
Statutory Audit is a mandatory legal requirement to ascertain how accurate are the records, accounting documents and financial statements of an organization, company, an individual or even a government. It is undertaken to ensure that the organization is being fair about the disclosure of its financial position.
Purpose of
Statutory Auditing
How statutory
Audits work
Examples of
Statutory Audits
As per UAE State law, all business entities are required to undergo and submit annual statutory audits. This includes checking all financial accounts and transactional record and make it available to public in case of municipalities of government. This keeps tabs on government agencies since they are custodian of public money. Government agencies specially participate in these audits regularly to ensure fair and honest disbursement of funds provided by larger federal agencies. In the private sector too, it is mandated that companies adhere to this requirement governed by law of the state in which they are conducting that business. e.g. a company ABC in the US that frequently conducts business in the European region through its various branches may be required to provide annual audits of those business units to the government of the country in which they are operating.
What is the Difference between a
Regulatory Audit, Statutory Audit and Performance Audit?
A Regulatory Audit aims to find out regulatory compliances of a sector with the mandated law.
A Performance audit examines the effectiveness and efficiencies of various methods employed in the business to identify the most efficient one.
A Statutory audit reviews the financial statements of the business as mandated by the law
What are the
Statutory Audit Requirements?
Local and export sales’ information
Inventory, administration and selling expense details
Foreign exchange earnings & expenditures’ details
Statutory dues & other levies
Fixed assets, details of bank statements transactions, cash receipts & payment information
Details of secured and unsecured loans, advances, Trade receivables and payables
Local & import purchases
Looking for statutory Auditors?
If you are in search of one of the best Statutory Audit services in the entire UAE region, look no further and visit our office at ebs where you will find a team of dedicated consultants equipped with relevant experience who take pride in creating value for their clients. They accomplish this by providing one on one customized services and audit solutions to address your unique accounting and audit needs in line with the latest updates on IFRS related to compliance.
FAQ’s
Commercial Companies Law mandates that a Statutory Audit is compulsory for all registered business entities. Certain free zones have unique auditing requirements and do not come under the ambit of Statutory Audit.