In any company, accounting and audit services are of critical importance and any company that fails to acquire the essential accounting and/or audit services will be expected to experience many problems.
Even though Indonesia does not have a law that specifically regulate matters concerning financial reports, a bookkeeping system is still in compliance with Indonesia accounting services standards found in various laws and regulations. After incorporating a company in Indonesia, you should take note of your accounting and auditing functions.
Accounting and Auditing Services
Timely and accurate financial information is crucial for a company to maintain a competitive advantage in today’s dynamic business environment.
Accounting refers to the bookkeeping system that follows Indonesia’s accounting standards included in the Limited Liability Company Law and the Tax laws. However, it should not be confused to actual bookkeeping service.
Here are some of the common accounting services provided by accounting firms:
Cash flow & working capital analysis
Account consolidation & financial statements
Management reports & accounts
Financial planning & budgeting
Filing of annual reports
Payroll tax reporting
Compilation of accounts for dissolution/ tax clearance
Periodic financial statement
Auditing, on the other hand, refers to the systematic and independent examination of books, accounts, documents, and vouchers of a company to have a rough gauge of how far the financial statements presented are to a true and fairt view of concerns.
Audit professionals provide a range of independent audit services based on a strong knowledge of accounting principles. These are
complemented by an appropriate knowledge of business systems, processes, and controls.
By having an audited business, you will gain credibility from shareholders and investors.
Here are some audit services in Indonesia provided:
Annual financial audit
Special purpose audit
Certification for subsidy claim audit
Fixed assets certification
Personal income certification