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Audited accounts for small companies

Do small companies need audited accounts?

The situation

The audited accounts requirement is relaxed for small companies on the 3 percent regime.

The law

  • Income Tax Law (small company return): Simplified return with a cash basis income statement within three months of year end; audited accounts relaxed
  • Income Tax Law (accounts with the return): Return with audited accounts signed by an auditor registered in Oman, under IFRS

What it means for you

A cash basis income statement is generally enough with the simplified return. If the company falls out of the regime, audited accounts apply. The Commercial Companies Law may still require an auditor for some company forms.

What to do

  1. Prepare a cash basis income statement.
  2. Check company law audit duties.
  3. File the simplified return.
  4. Plan audit if growth is expected.

We can do this for youSmall company 3 percent regime: eligibility test and simplified return: OMR 250

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