TOP 10 audit firms in Georgia
In accordance with the Law of Georgia on Accounting, Reporting and Auditing, enterprises that belong to the 1st, 2nd and 3rd categories, as well as organizations representing public interests are required to publish their annual financial statements in a dedicated platform SARAS ( Service for Accounting , Reporting and Auditing Supervision). Starting from 2021, compliance with this requirement will be also mandatory for enterprises that belong to the 4th category. It should be reminded that the requirement on the mandatory publication of annual financial statements and their audit began to apply since 2017. Let’s explore the top auditing firms in Georgia, based on profits for the year 2018.
Various categories of entities under Georgian law
Let us start with a brief overview on the conditions for reporting of financial statements in Georgia. Here, all companies are divided into 4 categories, provided that at the end of the reporting period they meet at least two of the listed criteria:
|Category||Total assets value||Income||Average number of employees|
|First||> 50 million GEL||> 100 million GEL||> 250 people|
|Second||<50 million GEL||<100 million GEL||<250 people|
|Third||<10 million GEL||<20 million GEL||<50 people|
|Fourth||<1 million GEL||<2 million GEL||<10 people|
Requirements for Georgian companies depending on categories
· Management report on the activities of the company. If the information specified in the management report is already contained in the financial statements, it is not necessary to duplicate it in the management report.
Plus, enterprises operating in the extraction industry (including oil and gas production) and log production should also prepare annual reports on government contributions
|· IFRS for SMEs, with the right to follow IFRS. If there are laws or regulations requiring the use of other reporting standards, they should be applied;
· Management report with an overview of the enterprise. If the information specified in the management report is already contained in the financial statements, it is not necessary to duplicate it in the management report
|IFRS for SMEs, but with the right to follow IFRS. If there are laws or regulations requiring other reporting standards, they should be applied.||In accordance with the standard of financial reporting for enterprises of the 4th category. But they have the right to apply financial reporting standards that are used by enterprises of a higher category (for example, IFRS for SMEs).|
|Audit||· Audit of financial statements for each reporting period
· The auditor or audit firm should issue an opinion on the reliability of the management report
|Similarly, as for category I||Not required to conduct an audit of financial statements, unless required by law||Similarly, as for category III|
|Timing||Submit financial and management reports, a report on government contributions and an audit report at least once a year, no later than October 1 of the following year||Submit financial, management reports and audit reports at least once a year, no later than October 1 of the following year||Submit financial statements, at least once a year, no later than October 1 of the following year||Similarly, as for category III|
Read more: the benefits of registering a company in Georgia.
The Top Ten Audit Companies in Georgia by profits
Compliance with the requirements of legislation in the field of financial reporting means added workload on audit companies. Let’s see who are the leaders of the Georgian audit services market by profits for the year 2018.
- PWC Georgia – 8 582 967 GEL;
- UI – 8 529 980 GEL;
- KPMG Georgia – 6 614 749 GEL;
- Deloitte and Touche – 6 004 650 GEL;
- BDO – 4 680 084 GEL;
- Grant Thornton – 1 230 439 GEL;
- RSM Georgia – 1 287 975 GEL;
- Nexia TA – 1 209 749 GEL;
- PKF Georgia – 1,074,437 GEL;
- Baker Tilly Georgia – 690,711 GEL.
As you can see, reputable international audit brands lead the rating.
If you want to register a company in Georgia, contact us now by e-mail: info@offshore–pro.info . We will help you through the establishment of a legal entity in Georgia, while also offering tax optimization mechanisms to the extent practicable.
Tags: #Audit of companies in Georgia