Accounting Services

Accounting/Auditing/Tax services

• Accounting services

Accounting is the language of companies which shows all the financial performance and position of the company

Accounting services consist of:

• Book-keeping of company transactions (sales, purchases, nominal ledgers, etc.)
• Annual preparation of Financial Statements and Financial Reports
• Payroll Accounting Services

Book-keeping of company transactions (sales, purchases, nominal ledgers, etc.)

The process of recording the day-to-day financial transactions of a company such as sales, purchases and nominal ledgers is referred to as Bookkeeping. This is a vital part of accounting and good business management. Adequate bookkeeping will impact the validity of the financial reports created.

Annual preparation of Financial Statements and Financial Reports

Financial statements are formal records of the financial activities of a business or entity. Relevant information is presented in a structured form and typically includes:

• a balance sheet (reporting a company’s assets and liabilities);
• an income statement (profit and loss report on a company’s income)
• a cash flow statement.

Financial statements are usually accompanied by a discussion and analysis of the findings, otherwise known as the financial report, which is key to the future planning of the business.

Payroll Accounting Services

Payroll accounting involves employee compensation of a company that includes:

• Gross wages
• Salaries
• Bonuses
• Commissions and funds that have been earned by employees
• Withholding taxes such as income tax
• Social security taxes and insurance premiums

This kind of service includes preparation of payslips and payment of Social Insurance and other related taxes in relevant authorities on behalf or your company

You can choose either the whole package of accounting or some services.

• Audit Services

Audit is compulsory in Cyprus for all Cyprus companies. Audit is based on testing of sample of bookkeeping entries and effectiveness of Internal Controls.

Audit ensures that company’s Financial Statements are in compliance with the International Financial Reporting Standards (IFRS’s) and provide accurate and financial information to shareholders and other stakeholders.

The methodology followed is in line with the International Financial Reporting Standards (IFRS’s), International Auditing and Assurance Standards as well as Cyprus Companies Law Cap.113.

Audit services include:

Preparation of Financial Statements in accordance with the International Financial Reporting Standards (IFRS’s).

Statutory and regulatory audit and issuance of an independent audit opinion on the Financial Statements of a company or non for profit organizations in accordance with the International Standards of Auditing (ISA’s).

Assistance to clients for filing and submitting the required under the Law documents to Cyprus Government Authorities and other Regulators.

Audit also includes the evaluation of internal controls and suggestions of improvements.

• Tax services:

Tax services can prevent any penalties/fines by authorities due to non-compliance with local tax regulations

Tax services consist of:

• Preparation and submission of VAT services & returns
• Procedures for submission of V.I.E.S. returns
• Assistance in dealing with tax authorities
• Value Added Tax (VAT) advice and other Tax advice

VAT return, Preparation and submission

Undoubtedly, value added tax (VAT) can be one of the most challenging aspects of taxation. VAT legislation is particularly complex and is constantly amended and updated.

VAT is imposed on the delivery of goods and services in Cyprus. It is also imposed on the acquisition or importation of goods from other EU Member States. VAT is one of the most complex and stringiest areas of taxation with ever-changing Laws and Legislations.

Timely responses to the ever-changing tax legislation is also important and the appropriate implementation of effective strategies can ensure your business will remain compliant with legislation.

If VAT returns from the relevant authorities and has not been prepared correctly or in a timely manner, then this will lead to the imposition of hefty fines.

Procedures for submission of V.I.E.S. returns

V.I.E.S. declarations are necessary for the supply of goods and services between EU Member States. VAT registered traders involved in the supply of goods and services have responsibilities to submit a V.I.E.S return. This enables traders to check the validity of VAT registration numbers of their customers and detect the unreported movement of zero-rated goods between Member States.

Due to our extensive knowledge of the tax system, our tax advisors can help you implement the proper structures to minimize the amount of capital gains tax and/or inheritance tax which could become due and limit your income tax exposure.

Assistance in dealing with tax authorities

Tax authorities globally are becoming increasingly difficult to deal with and examine closely all information given to them. Even a minor error can cause the tax authorities to require more information on a particular individual or business transaction. This is why an appropriate tax planning from the outset is necessary to help protect you from such instances.

In cases where the tax authorities do become involved, our consultants will handle all correspondence and dealings with the authorities on your behalf thereby eliminating this daunting procedure for you and ensuring that your case is successfully dealt with.