Audit requirements in Hong Kong
Companies incorporated in Hong Kong need to comply with the applicable legislation regarding auditing and reporting. Our experts are able to provide audit services in Hong Kong, suited for companies that have just entered the market but also for those that have an established presence and need professional counselling and advice.
A certified public accountant performs a yearly audit of the company’s accounts. These audited accounts must be submitted together with the tax returns, to the Inland Revenue Department. The auditor that performs the annual accounts audit should be different from the company’s regular accountant who keeps the company’s books.
The audit of the financial statements is mandatory for all companies in Hong Kong, except dormant ones.
The audit procedure in Hong Kong
A financial statements audit is planned according to the Hong Kong Standard on Auditing. The process is adapted depending on the size of the legal entity and how it complies with the legal and regulatory framework. The certified auditor establishes the audit plan, however, during the process, he may decide to adapt the strategy after discussing with the company’s managers.
Our team of auditors works closely with the company managers in order to ensure that the entire process is straightforward. Special considerations are sometimes necessary for small legal entities. For these types of companies, a smaller team is usually required to perform the audit.
Professional audit services for Hong Kong companies
Our team of experts can provide professional audit services and will work together with our accountants to prepare and maintain the mandatory annual accounts for your company. We can provide a financial statement audit as well as an internal audit.
While the financial statement audit is oriented towards the company’s compliance with the reporting standards in the city, the internal audit will provide important insight into the functioning of the business entity and it can be especially important in cases like mergers and acquisitions or if the company directors want to change the strategy and business model of the corporation.
Our team can help you with regulatory reporting compliance but also with accounting advice and assistance. For more information about the audit standards in Hong Kong, you may contact our company registration specialists.