International Standards and Auditing
Which enterprises can apply NSFOMSP and which are not required to have their accounts certified by an auditor?
The annual financial statements are prepared and presented on the basis of the National Standards for Financial Statements for Small and Medium-sized Enterprises by enterprises that, at least in one of the two previous years, do not exceed the indicators of two of the following criteria:
1. balance sheet value of assets as of December 31 – BGN 8 million;
2. net sales revenue for the year – BGN 15 million;
3. average number of personnel for the year – 250 people.
Other terms:
1. If:
* in a previous accounting period you presented your financial statements based on IAS
* or you are an enterprise, an issuer within the meaning of the Public Offering Act
* or you are a credit institution, insurance or investment company
* or you are a supplementary social security company or a fund managed by them
you must present the GFO for 2013 based on the IAS
2. If you are an enterprise that was founded in 2012 or 2013, you can optionally present the 2013 financial statements based on IAS or NSFOMSP
Enterprises applying a simplified form of financial reporting are not subject to a mandatory audit and they are the enterprises that in the current or the previous year do not exceed the indicators of two of the following criteria:
- balance sheet value of assets as of December 31 – BGN 1.5 million;
- net sales revenue for the year – BGN 2.5 million;
- average number of staff for the year – 50 people.
When determining the status of a newly formed enterprise, as applying a simplified form of financial reporting, the values of these criteria are taken only for the year of establishment.