audit exemption


audit exemption
The exemption from statutory audit by a registered auditor that can be claimed by certain small companies. Companies with a turnover of not more than £1 million and a balance-sheet total of not more than £1.4 million may be totally exempt from audit. Companies with a turnover in the range £1 million to £5.6 million (and a balance-sheet total of not more than £2.8 million) may claim exemption from the audit requirement but still need a reporting accountant's report. The audit exemption report must state that the accounts are, in the opinion of the accountant, in agreement with the accounting records kept by the company and that the accounts have been drawn up in a manner consistent with the provisions of the Companies Act (1985). Also, the accountant must report that, on the basis of the information contained in the accounting records, the company is entitled to the exemption on the basis of size. The audit exemption report was formerly known as a compilation report.
Further details of audit exemptions are available at the Department of Trade and Industry website at http:www.dti.gov.uk

Accounting dictionary. 2014.

Look at other dictionaries:

  • audit exemption — The exemption from statutory audit by a registered auditor that can be claimed by certain small company Companies with a turnover of not more than £1 million and a balance sheet total of not more than £1. 4 million may be totally exempt from… …   Big dictionary of business and management

  • statutory audit — An audit of a company as required by the Companies Act (1985), subject to small company exemptions. The auditors are required to report to the company s members on all accounts of the company, copies of which are laid before the company in… …   Accounting dictionary

  • statutory audit — An audit of a company as required by the Companies Act (1985), subject to small company exemptions. The auditors are required to report to the company s members on all accounts of the company, copies of which are laid before the company in… …   Big dictionary of business and management

  • Sales Tax Audit — A sales tax audit is the examination of a company’s financial documents by a U.S. state’s tax agency to verify if they have collected the correct amount of sales tax from their customers. Purpose The purpose of a sales tax audit is to examine the …   Wikipedia

  • correspondence audit — An examination of the accuracy of a taxpayer s income tax return conducted through the mail by the Internal Revenue Service, which sends the taxpayer a request for proof of a particular deduction or exemption taken by either completing a special… …   Law dictionary

  • correspondence audit — An audit conducted by the Internal Revenue Service through the use of the mail. Typically, the I.R.S. writes to the taxpayer requesting the verification of a particular deduction or exemption. The completion of a special form or the remittance of …   Black's law dictionary

  • correspondence audit — An audit conducted by the Internal Revenue Service through the use of the mail. Typically, the I.R.S. writes to the taxpayer requesting the verification of a particular deduction or exemption. The completion of a special form or the remittance of …   Black's law dictionary

  • List of Statutory Instruments of the United Kingdom, 1994 — This is a complete list of all 1851 Statutory Instruments published in the United Kingdom in the year 1994. NOTOC 1 100* Public Telecommunication System Designation (Vodafone Limited) Order 1994 S.I. 1994/1 * Oxfordshire County Council (Shifford… …   Wikipedia

  • List of Statutory Instruments of the United Kingdom, 2006 — This is an incomplete list of Statutory Instruments of the United Kingdom in 2006. NOTOC 1 100* Public Contracts Regulations 2006 S.I. 2006/5 * Utilities Contracts Regulations 2006 S.I. 2006/6 * M6 Motorway (Junction 36, Town Head Bridge Parapet… …   Wikipedia

  • List of Statutory Instruments of the United Kingdom, 1995 — This is a complete list of all 1,872 Statutory Instruments published in the United Kingdom in the year 1995. NOTOC 1 100* National Health Service (Optical Charges and Payments) (Scotland) Amendment Regulations 1995 S.I. 1995/1 * Plymouth… …   Wikipedia