Due to laws in the Netherlands, if two out of the following conditions applies to your company:
Value of assets > 6 million
Net-turnover > 12 million
Employees > 50
It is compulsory to have the statutory audit of the year-end figures of your company performed by an audit firm licensed by the Dutch Authority for the Financial Markets (AFM).
Companies that are listed on the stock exchange, or have financial instruments issued at regulated financial market must be audited. These organisations, so called Public Interest Entities (PIE, in Dutch; Organisaties met een Openbaar Belang-OOB) can be audited only by a limited group of audit firms who have a special audit license.
Furthermore, banks, investors, local tax authorities or other stakeholders might require an audit, even when your company does not fulfil these above mentioned criteria. Such ‘voluntarily’ audits will provide these stakeholders with the same level of assurance.
Group holdings, based in the Netherlands, comply to the same criteria. Internationally, the work of the group auditor is regulated by ISA 600 INTERNATIONAL STANDARD ON AUDITING 600 SPECIAL CONSIDERATIONS—AUDITS OF GROUP FINANCIAL STATEMENTS (INCLUDING THE WORK OF COMPONENT AUDITORS). In the Netherlands, ISA 600 is translated into Further Instructions Audit and Related Standards (‘Nadere voorschriften controle- en overige standaarden 600) NV COS 600.
Furthermore, in some situations an auditor’s opinion is required, for example in the case of a legal merger. Insurance companies might ask for an audit opinion regarding the insured amount (for example turnover).
Audit is highly regulated and is a complex area. Furthermore, changes in regulations are frequent. IASB is issuing regularly new regulations for IFRS and the IAASB new standards for IAS, who are then being adapted to Dutch laws. Furthermore, what might work in one area might trigger consequences in another area.
Auditors at Scope Audit & Assurance B.V. work on these issues on a daily basis. We are specialised in helping international companies to comply to Dutch regulations in regards to audit. Do not hesitate to ask your question by using the form below.
Scope Audit & Assurance B.V. is the only audit company in the Netherlands that exclusively specialises in providing international companies that have the majority of their operations outside of the Netherlands in audit, assurances and audit-related services.