Best Accounting & Auditing Lawyers in Diekirch

About Accounting & Auditing Law in Diekirch, Luxembourg

Accounting and auditing in Diekirch operate under Luxembourg national law. Companies and associations registered in Diekirch follow the same legal framework as those elsewhere in the country. Businesses must keep proper books, prepare annual financial statements, approve them at a general meeting, and file and publish them with the Luxembourg Business Registers. Depending on size, activity, and legal form, entities may be subject to a statutory audit by an approved auditor or to a more limited control. The region around Diekirch has many cross-border operators, so local practice often involves handling Belgian, German, and French touchpoints while staying compliant with Luxembourg rules.

Luxembourg uses Luxembourg GAAP for statutory accounts, with a standardized chart of accounts known as the PCN. Larger groups may also use IFRS for consolidated accounts. Audit and assurance activities are regulated, and oversight is shared among professional bodies and public authorities to safeguard audit quality and independence. Non-compliance with filing, recordkeeping, and audit obligations can lead to fines, director liability, and court interventions, which are handled for northern Luxembourg by the District Court of Diekirch.

Why You May Need a Lawyer

Many everyday business situations in Diekirch raise accounting and auditing law issues that benefit from timely legal advice. Common examples include setting up a company and choosing the right accounting framework, determining whether your entity must appoint a statutory auditor, drafting or reviewing auditor engagement letters, and navigating independence and conflict of interest rules. Directors often seek counsel on their duties when approving accounts, managing losses that erode equity, or handling qualified audit opinions.

You may also need legal help to deal with filing delays or penalties, to challenge or respond to a tax audit that relies on your accounting records, or to manage cross-border aspects such as branches, permanent establishments, and transfer pricing documentation. In more sensitive cases, lawyers guide managers through insolvency warning signs, preparation of interim accounts, court driven restructuring or liquidation, and interactions with the District Court of Diekirch and other authorities. When shareholders dispute valuations, dividends, or related party transactions, counsel can help design governance controls, remediate prior periods, and negotiate settlements.

Local Laws Overview

Company and accounting obligations are set primarily by the Companies and Associations Law of 10 August 1915 as amended and the Law of 18 December 2015 on annual accounts and consolidated accounts, which transposed EU rules on financial reporting. Most Luxembourg entities must maintain books under the standardized chart of accounts known as the PCN and prepare annual financial statements in accordance with Luxembourg GAAP. Financial statements are typically drawn up in French, German, or English and expressed in euro unless otherwise permitted.

Approval and filing are time sensitive. In general, shareholders approve annual accounts within six months of the year end, then the company files them with the Luxembourg Business Registers soon after approval and within the legal deadline. Late filing can trigger fines and public notices. Records and supporting documents must be retained for a long period, commonly ten years, and should be kept in a way that enables inspection by auditors and tax authorities.

Audit requirements depend on size, legal form, and activity. Public interest entities such as listed companies, credit institutions, and insurers always require a statutory audit. Other companies must appoint a statutory auditor if they exceed size thresholds for at least two consecutive years or if their articles or specific sectoral laws require it. Smaller companies may fall under a lighter control regime, often by a commissaire aux comptes. The audit profession is regulated by national law that implements EU audit reforms, and oversight involves the Institut des Réviseurs d Entreprises for the profession and the Commission de Surveillance du Secteur Financier for public interest audits.

Consolidated accounts are required when a parent company controls one or more subsidiaries and size criteria or other conditions are met. Groups that use IFRS for consolidation still prepare Luxembourg GAAP statutory accounts for the individual entities unless a specific exemption applies. Electronic filing of accounts is done via the national platforms used for e reporting, and the use of structured formats is common. In case of financial distress, the District Court of Diekirch has jurisdiction for entities registered in its territorial area and can open insolvency proceedings, appoint liquidators, or approve protective measures.

Frequently Asked Questions

Which entities in Diekirch must keep books and prepare annual accounts

Almost all commercial companies and many associations must keep orderly books, apply the standardized chart of accounts where required, and prepare annual financial statements. The exact form of the statements depends on legal form and size. Even very small entities must maintain records that are sufficient to show transactions and financial position.

What is the PCN and do I have to use it

The PCN is Luxembourg s standardized chart of accounts. Most companies that keep books under Luxembourg GAAP must map their accounting to the PCN and use it for filing. Certain sectors and entities that report under special frameworks may be exempt. Your accountant or lawyer can verify your status and set up the correct chart.

When is a statutory audit mandatory

A statutory audit is always required for public interest entities and for companies that exceed size thresholds set by law for at least two consecutive financial years. Some legal forms or specific regulatory regimes also require audits regardless of size. The thresholds can change, so you should confirm the current figures before deciding.

What is the difference between a reviseur d entreprises agree and a commissaire aux comptes

A reviseur d entreprises agree is an approved statutory auditor who performs audits in line with auditing standards and independence rules. A commissaire aux comptes performs a more limited control that may apply to smaller entities when a full statutory audit is not required. The scope, reporting, and liability regimes are different.

Can my group use IFRS

Luxembourg groups can generally use IFRS for consolidated financial statements if they meet the conditions in law. Individual company accounts are usually prepared under Luxembourg GAAP even if the group uses IFRS for consolidation. Some regulated entities have specific IFRS requirements. Legal advice helps determine whether and how IFRS can be adopted.

What are the deadlines for approving and filing annual accounts

Shareholders usually approve annual accounts within six months after the year end. Filing with the Luxembourg Business Registers follows shortly after approval and must occur within the legal deadline, which is commonly seven months after the year end. Late filing can lead to fines and public disclosure of non compliance.

Are there simplified regimes for micro or small companies

Yes. Luxembourg law provides simplified layouts and disclosure relief for small and micro entities that remain below thresholds. Relief can include abridged balance sheets and reduced notes. These regimes are optional and have conditions, so you should confirm eligibility before applying them.

How long must I keep accounting records

As a rule, accounting records, source documents, and supporting evidence should be kept for at least ten years. Sectoral rules and tax laws can impose longer retention for specific items. Electronic storage is accepted if it preserves integrity, readability, and accessibility in Luxembourg.

What happens if my company receives a qualified or adverse audit opinion

The board should assess the issues, consider corrective actions, and communicate with shareholders. If the opinion signals going concern or equity loss problems, directors may have legal duties to convene meetings, prepare interim accounts, or take protective steps. Legal counsel can help design a remediation plan and manage disclosures.

Which court handles insolvency matters for companies in Diekirch

The District Court of Diekirch has jurisdiction over commercial matters for entities within its territorial scope. It can open bankruptcy, appoint liquidators or judicial representatives, and oversee restructuring measures. Early legal advice is essential if you see insolvency indicators such as persistent illiquidity or balance sheet insolvency.

Additional Resources

Luxembourg Business Registers and the Trade and Companies Register provide company filings and handle publication of annual accounts. They offer guidance on formats, fees, and deadlines.

eCDF is the electronic platform commonly used for structured filing of annual accounts and related financial data in Luxembourg.

Institut des Réviseurs d Entreprises is the professional body for approved auditors and provides standards, guidance, and public registers of audit firms and auditors.

Commission de Surveillance du Secteur Financier supervises auditors of public interest entities and sets expectations on audit quality, independence, and enforcement in the financial sector.

Ordre des Experts Comptables is the national body for chartered accountants, offering technical guidance on Luxembourg GAAP, the PCN, and professional practice.

Administration des Contributions Directes and Administration de l Enregistrement, des Domaines et de la TVA are the direct and indirect tax authorities whose audits and inquiries rely on your accounting records.

Guichet.lu is the government information portal that explains business procedures, accounting obligations, and filing steps in clear language.

Tribunal d arrondissement de Diekirch handles commercial matters, enforcement, and insolvency for companies in the Diekirch region.

Barreau de Diekirch is the local bar association that can help you find lawyers experienced in accounting and auditing matters.

Chamber of Commerce and House of Entrepreneurship provide practical support to businesses in setting up governance and meeting accounting and filing obligations.

Next Steps

Map your obligations by confirming your legal form, size, group structure, and sector rules. Identify whether you must use the PCN, whether simplified reporting applies, and whether you need a statutory auditor.

Collect key documents such as articles of association, prior year accounts, trial balance and general ledger, major contracts, loan agreements, and related party documentation. Keep these organized and accessible.

Engage the right advisers. For compliance planning and filings, a chartered accountant can set up your PCN, draft accounts, and coordinate e filing. For governance, audit requirements, complex transactions, and director liability questions, consult a lawyer with Luxembourg accounting and auditing experience in the Diekirch region.

Select and appoint your statutory auditor if required. Ensure the engagement letter reflects scope, timing, group reporting needs, and independence confirmations. Coordinate with your accountant to prepare audit ready files.

Establish a compliance calendar that covers approval and filing deadlines, tax returns, and audit milestones. Assign responsibility within your team and set reminders to avoid penalties.

If you face a tax inspection, regulatory inquiry, late filing penalty, or signs of insolvency, seek legal advice immediately. Preserve all records, avoid altering historic documents, and document your decision making to demonstrate diligence.

Agree on a clear engagement letter with your lawyer, including scope, fees, timelines, and communication channels. Provide complete and accurate information to enable precise legal analysis and efficient resolution.

This guide is general information. Your situation may involve specific thresholds, exemptions, or sector rules. A local professional can confirm the latest legal requirements and tailor a plan that fits your business in Diekirch.