Audit.
Obligatory audit – obligatory annual financial records and bookkeeping examination, which is prescribed by article 7 of the federal statute “About financial audit” № 119-FL.
Subjects for obligatory audit:
- Open Joint-stock Companies
- Companies with annual operating revenues exceeding 500.000 mimimum wages (MW)
- Companies with total assets by theend of the fiscal year exceeding 200.000 MW
- Federral Unitary Enterprises
- Investment funds
- Charity funds
Financial audit goal matter: statement of financial (accounting) confidence and compliance of the bookkeeping operation with laws and regulations. Confidence means bookkeeping grading of accuracy permits judging about busiyness activities and financial/material statement and thus maiking reasonable decisions.
The result the audit is an audit report complying with federal law and corporate standarts.
Audit procedure:
Under obligatory audit the following items are considered:
- Estimation of bookkeeping and internal controls organization standards, acconting personnell skills, documents circulation and business documentation processing organisation standarts.
- Accuracy and justice of bookkeeping entries reflecting financial and economic activities and their results.
- Consulting the client on bookkeeping, tax assessment and economic law etc.
- Giving recomendation on the issue of eliminating faults and violations which affected finance results and confidence of the account indications.
Following items are examined:
- foundation documents
- accounting policies
- bookkeeping and tax accounts
- constructing documents
- primary accounting documents reflecting business activities
- balance and tax audit trails
Thus following matters are checked:
- control of revenues achieved via realization of goods (production, efforts, services)
- generation of product (production, efforts, services) cost
- control of extraoperational profits and expences
- settlements with customers, suppliers and other agents
- settlements with budget and non-budget funds
- settlements with employees concerning wages and other payments
- settlements involving credit and loan agreements
- financial investments
- cash transactions and settlements with accounted subjects
- account of permament assets, intangible assets and other inventory items
- inventory checks results
Periodicity: every year
Initiaive audit.
Initiative audit service can include:
- Cheking compliance between account controls and bookkeeping operations
- Tax calculation and tax payment
- Bookkeeping methodology and its compliance with federal and corporate standarts
- Business activities analysis
- Legal analysis of founding documents
Periodicity: yearly, quarterly.
Tax audit.
Tax audit is an independant check of tax and bookkeeping accounting which includes:
- correctness of taxable base generation on every tax type
- settlements with budget and non-budget funds
- compliance of bookkeeping and tax accounting with laws in action
Goal matter of tax audit is analisyis of disclosed bookkeeping and tax accounting bungles and help in clearing those.
Tax audit results in estimating tax riscs. After this procedure You can get professional recomendations on tax optimization and clering the bungles disclosed.
Business activities revisions.
This includes estimation of business activities with a veiw of owner’s (shareholder’s) interests adhearance, effectiveness of separate transactions, disclosure of unscrupulous actions (omissions) of individuals resulted in disbenifits. After the check a report is made, pointing out inefficient transactions, functionaries responsible for it and assuemed missed profit value.
Periodicity: current time, end of accounting business period.
