On January 1, 2025, the Polish government will implement the Act of December 6, 2024, amending the Accounting Act, the Act on Statutory Auditors, Auditing Companies, and Public Supervision, along with certain other acts. The said amendment adds, among others, new thresholds for the audit of financial statements for other entities (above all: limited liability companies, general partnerships, professional partnerships, limited partnerships, civil law partnerships, and undertakings of natural persons) which in the preceding financial amount, respectively:
The new thresholds will apply for the first time to the financial year starting after 31 December 2024. If an entity meets at least 2 of the above-mentioned conditions for 2024, it will be obligated to carry out an audit of the financial statement for 2025.
As a reminder, by the end of 2024, the above-mentioned thresholds were as follows:
Important note! Revenue on financial operations was removed from the revenue category. It means that apart from the assets total and the employment, the obligation to carry out an audit of the financial statement is determined by operating revenue i.e., the revenue that the entity was established for and that is related to its basic business.
Because of the higher thresholds, some of the entities will no longer be covered by the obligatory audit of financial statements. Agreements with auditing companies are concluded for a period of at least two years. There might be then a situation when a company is subject to an obligatory audit of the financial statement for 2024 but with the higher thresholds it will be exempted from such obligation in 2025. If it happens, the entity can terminate the agreement for the audit of the financial statement. It is necessary to inform the Polish Agency of Audit Supervision (PANA) about the termination. This should be done by the audited company and the auditing company. In case of a public interest entity (pursuant to Art. 2 point 9 of the Act on statutory auditors, auditing companies and public supervision) the information about termination of the agreement should also be delivered to the Polish Financial Supervision Authority (KNF).
The information about termination of the agreement can be filed to the Agency in the following way:
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