Annual Accounts | Fiscal Year-End Closing

With the month of October, we begin the last quarter of 2023, a period in which many companies start preparing the necessary documentation to comply with legal regulations required once the fiscal year has concluded.

1.- What are statutory audits?

The statutory auditing procedure is an essential component of the legislation regulating capital companies in our country, the Capital Companies Act. These are systematic and detailed processes of review, examination, and verification of an entity’s financial, accounting, and operational records, with the purpose of evaluating the integrity and legality of the information contained in said records. This regulation establishes the obligation for companies to examine their financial statements when they meet at least one of the following criteria for two consecutive years:

• If their assets exceed two million eight hundred and fifty thousand euros.
• If their net annual turnover exceeds five million seven hundred thousand euros.
• If the average number of employees during the year is greater than fifty.

2.- Purpose and Objectives

The purpose of a financial audit is to analyze and certify the economic and financial information of an organization, with the aim of verifying whether the presented accounts accurately reflect the true status of the company’s accounts.

Audit objectives:

• Credibility of financial information.
• Compliance with current regulations.
• Detection and prevention of fraud.
• Improvement of the company’s internal processes and controls.
• Support for decision-making.

3.- Why is it so important to plan them in advance?

The main reason why it is necessary to plan them in advance is the high demand from individuals and companies requiring this service. This work requires time and dedication from professionals. Good planning provides professionals with the ability to address any type of problem that arises during the study of the company’s financial situation. Furthermore, it is important to appoint auditors before the end of the fiscal year; otherwise, the corresponding Mercantile Registry will appoint auditors ex officio.

Planning the closing of annual accounts is fundamental to ensuring legal compliance, providing accurate and relevant information, supporting decision-making, and maintaining the financial health of the company. It helps the company operate efficiently and fulfill its financial and accounting obligations.

4.- What are audit reports used for?

Audit reports issued by auditors provide an opinion on the veracity and integrity of the company’s financial statements. These reports can be used by investors, regulators, shareholders, and other stakeholders to make decisions based on verified data.

5.- How can we help you?

The Tax Area of In Diem Abogados specializes in the taxation of self-employed individuals and SMEs, as well as investments and projects based on Blockchain and the cryptocurrency market.

The Tax Area of In Diem Abogados works jointly with the Tax, Commercial, International, Crypto, Financial, and Criminal Law areas to ensure that your operations meet all necessary requirements.

Contact IN DIEM Abogados 24 hours a day, any day of the week, without obligation.

We guarantee the best possible outcome, whatever your case may be.

• Personalized and professional attention
• Assistance throughout the entire judicial process
• 24-hour contact with your expert criminal lawyer
• Absolute confidentiality

Author: Marina Martínez Pérez.

Expert lawyers in Taxation | In Diem: Malaga, Marbella, Seville, Madrid, Las Palmas de Gran Canaria, Almeria, Huelva…

Furthermore, IN DIEM Abogados has extensive experience and a high degree of specialization in the area of Financial Law, offering advice regarding fiscal year-end closings, as well as taxation, providing clients with personalized assistance at all times.

IN DIEM Abogados has a team with experience in previous roles such as Magistrate-Judge, State Attorney, Prosecutor, or University Professor, which will provide you with peace of mind and security, having the best, competitive, and highly prepared team to achieve your goals and cover your needs.

We are at your disposal for whatever you need. You can reach us via the IN DIEM Abogados Phone (+34) 901 900 071. For emergencies, you can reach us at the IN DIEM 24-Hour Emergency Phone: (+34) 610 667 452.

Did you know that IN DIEM Abogados offers online and urgent services?

We offer our clients the possibility of being assisted by video call or videoconference, as well as by telephone, according to our clients’ preference, so that the assistance is as personal as possible, with absolute immediacy and no need for travel. This service is complemented by communication via email, which facilitates the analysis and delivery of documentation.

Likewise, we provide urgent and 24-hour services for our companies, handling national and international contracting operations.

For more information on the Online Legal Advisory Service, click HERE, and for the 24-Hour and Urgent Service, click HERE.

Would you like to know more about IN Diem Abogados? We leave you with this brief presentation video…

You will find us in Seville, Madrid, Las Palmas de Gran Canaria, Malaga, Tomares, Coria del Rio, Dos Hermanas, Mairena del Alcor, Estepona, Marbella, Mairena del Aljarafe… it will be a pleasure to assist you!!