Company Audits

An audit is an independent examination of the financial accounts of a company. Auditors verify that the accounts have been prepared in accordance with company law and generally accepted accounting standards.

Having carried out the audit, the auditors prepare a report stating that the accounts show a “true and fair view” of the state of affairs of the company for the financial period under review and of the profit or loss of the company for that period.

Appointing Auditors

Where a company has appointed auditors they must be registered Irish Auditors under the Companies Acts, non-Irish auditors, such as members of the Institute of Chartered Accountants in England and Wales are also permitted.

Auditors are usually re-appointed at the company AGM each year. Auditors are obliged to submit a report to the Office of the Director of Corporate Enforcement where they find a breach of any offences under the Companies Acts.

Audit Exemption

If a company meets certain conditions it may be exempted from having its accounts audited, the company must still file it’s accounts at the Companies Registration Office.

Companies not entitled to an Audit Exemption:

  • A company that is a member firm within the meaning of the Stock Exchange Act 1995
  • A company that is a stock exchange within the meaning of the Stock Exchange Act 1995
  • A company that is an associated undertaking or a related undertaking of a member firm or stock exchange within the meaning of the Stock Exchange Act 1995
  • A company that is an investment business firm within the meaning of the Investment Intermediaries Act 1995
  • A company that is an associated undertaking or a related undertaking of an investment business firm within the meaning of the Investment Intermediaries Act 1995
  • A company to which Chapter VII, VIII or IX of Part II of the Central Bank Act 1989, applies
  • A company that is engaged in the business of accepting deposits or other repayable funds or granting credit for its own account
  • A company that is an associated body of a building society within the meaning of the Building Societies Act 1989
  • A company that is an associated enterprise of a credit institution within the meaning of the European Communities (Consolidated Supervision of Credit Institutions) Regulations 1992 (S.I. No. 396 of 1992)
  • An investment company within the meaning of Part XIII of the Companies Act
  • A company that is a management company or trustee within the meaning of the Companies Act
  • A company that is an undertaking for collective investment in transferable securities within the meaning of the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 1989 (S.I. No. 78 of 1989)
  • A company that is a management company or trustee of an undertaking for collective investment in transferable securities within the meaning of the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 1989
  • A company that is a management company or trustee of a unit trust scheme within the meaning of the Unit Trusts Act
  • A company that is a general partner or custodian of an investment limited partnership within the meaning of the Investment Limited Partnerships Act 1994
  • A company that is an undertaking with close links with a financial undertaking within the meaning of the Supervision of Credit Institutions, Stock Exchange Member Firms and Investment Business Firms Regulations 1996 (S.I. No. 267 of 1996)
  • Any other company the carrying on of business by which is required, by virtue of any enactment or instrument there under, to be authorised by the Central Bank
  • A company that is an insurance intermediary within the meaning of the Insurance Act 1989
  • A company that is an excepted body within the meaning of the Trade Union Acts 1871 – 1990.