Best Accounting & Auditing Lawyers in Kitzingen

About Accounting & Auditing Law in Kitzingen, Germany

Accounting and auditing in Kitzingen follow German federal law, with local practice shaped by Bavarian authorities and courts. Businesses in Kitzingen must comply with the German Commercial Code HGB, the German Fiscal Code AO, and related regulations on bookkeeping, financial reporting, disclosure, and audits. Statutory audits are conducted by licensed auditors Wirtschaftsprüfer and firms are overseen by national professional and supervisory bodies. Local institutions such as the tax office Finanzamt Kitzingen and the Chamber of Industry and Commerce IHK Würzburg-Schweinfurt also play practical roles in compliance and support.

For many small enterprises in Kitzingen, especially sole proprietors and partnerships without limited liability, simple bookkeeping can be sufficient. Corporations such as GmbH and AG face more extensive accounting, disclosure, and sometimes audit requirements. Companies operating in regulated sectors, or those considered public interest entities such as listed companies, banks, and insurers, are subject to enhanced rules and supervision.

Why You May Need a Lawyer

Legal counsel can be critical in the following situations:

- You are unclear whether your company must keep double-entry books, prepare annual financial statements, or file reports with the Federal Gazette Bundesanzeiger.- Your business has grown and you may have crossed size thresholds that trigger new disclosure or audit obligations.- You received a notice of a tax audit Betriebsprüfung or a books-and-records request from the tax office, or you face penalties for late or incomplete filing.- You need to negotiate auditor engagement terms, change auditors, or address disagreements over accounting policies or audit findings.- You are dealing with suspected fraud, compliance breaches, or internal control weaknesses identified by management, auditors, or whistleblowers under the Hinweisgeberschutzgesetz.- You face disputes involving management liability for incorrect accounts or delayed filings, including potential claims by creditors or shareholders.- You plan a restructuring, merger, or acquisition that raises accounting treatment, consolidated reporting, or audit questions.- You operate in regulated sectors or as a public interest entity and must comply with strict auditor independence, rotation, and audit committee obligations.- You need advice on digital recordkeeping, e-invoicing, data protection, and cross-border reporting requirements.

Local Laws Overview

- Bookkeeping and financial statements: The HGB requires merchants Kaufleute to keep orderly books GoB and prepare annual financial statements. Corporations such as GmbH and AG must prepare balance sheet, profit-and-loss statement, and often notes and a management report depending on size. Sole proprietors and partnerships that are not merchants can often use cash-basis accounting Einnahmenüberschussrechnung under tax law if they do not meet thresholds for mandatory bookkeeping.

- Size classes and disclosure: Company size small, medium, large is determined by thresholds in the HGB based on balance sheet total, revenues, and average employees. Small companies benefit from reduced disclosure and may avoid statutory audit. Medium and large corporations generally must have a statutory audit. Threshold figures are set in law and may be adjusted from time to time. A lawyer or advisor can confirm the current thresholds that apply to your financial year.

- Partnerships with limited liability: Certain partnerships such as GmbH and Co. KG where no natural person bears full liability are subject to corporation-like accounting, disclosure, and audit rules under HGB section 264a.

- Statutory audits: Audits are performed under German auditing standards, with oversight by the federal auditor oversight authority and the professional chamber. Public interest entities face additional requirements, including auditor rotation and restrictions on non-audit services. Auditors are appointed by the shareholders meeting in a GmbH and by the supervisory board in an AG, unless special rules apply.

- Consolidated financial statements: Parent companies that control subsidiaries often must prepare consolidated accounts. Listed groups must apply IFRS in consolidated financial statements. Separate entity accounts are generally prepared under HGB.

- Filing and publication: Financial statements must be filed electronically with the Federal Gazette Bundesanzeiger within statutory deadlines. Noncompliance can lead to fines imposed by the Federal Office of Justice. Small companies have simplified publication options.

- Tax bookkeeping and retention: The AO and HGB require retention of accounting records typically for 10 years and certain business correspondence for 6 years. The GoBD rules set detailed requirements for electronic bookkeeping, auditability, and tamper-proof archiving.

- VAT and invoicing: The VAT Act UStG sets invoicing and documentation requirements. Germany is phasing in structured electronic B2B invoicing from 2025 with transitional periods. Businesses should verify current timelines and technical specifications and adapt their accounting systems accordingly.

- Payroll and social security: Employers must comply with payroll accounting, wage tax withholding, and social insurance reporting. Errors can trigger audits and back payments.

- Data protection: Accounting and audit processes must comply with GDPR and German data protection rules, especially when processing employee and customer data or using cloud systems.

Frequently Asked Questions

Who is required to keep double-entry books in Kitzingen and under what law

Merchants under the HGB must keep orderly books and prepare annual financial statements. For tax purposes, businesses exceeding certain thresholds under the AO such as annual revenues over 600,000 euro or profit over 60,000 euro are generally required to keep accounts. Sole proprietors and small partnerships below these thresholds can often use cash-basis accounting for tax purposes, but if they are merchants under the HGB they must still apply commercial bookkeeping.

When is a statutory audit required

Medium and large corporations as defined by HGB size thresholds usually require a statutory audit of their annual financial statements. Small corporations are generally exempt unless they are in regulated sectors or fall under special rules. Parent companies that must prepare consolidated accounts typically require an audit of the group accounts. Partnerships like a GmbH and Co. KG with no fully liable natural person and of sufficient size may also be subject to audit.

How are company size thresholds determined

Size is based on three criteria in the HGB: balance sheet total, revenues, and average number of employees. A company is small, medium, or large depending on whether it meets or exceeds two out of three thresholds. Thresholds may be updated by law. Always check the figures applicable to your reporting period before concluding whether an audit or expanded disclosures are required.

What are the deadlines for filing financial statements

Most non-listed corporations must file their annual financial statements electronically with the Federal Gazette within 12 months after the balance sheet date. Listed companies and certain others have shorter deadlines, such as four months for consolidated accounts of capital market oriented entities. Late filing can lead to fines by the Federal Office of Justice.

What are the retention periods for accounting records

Under HGB section 257 and AO section 147, accounting books, inventories, annual financial statements, and invoices are typically kept for 10 years. Commercial letters and certain other documents are kept for 6 years. Electronic records must comply with GoBD requirements, including immutability, traceability, and proper access controls.

Can a small business choose cash-basis accounting Einnahmenueberschussrechnung

Yes, many small sole proprietors and partnerships below the AO thresholds and not considered merchants under the HGB can use cash-basis accounting for tax purposes. However, if you are a merchant or operate in a corporate form such as a GmbH, commercial bookkeeping and HGB financial statements are required.

How do I appoint or change an auditor

In a GmbH, the shareholders meeting appoints the auditor. In an AG, the supervisory board typically appoints the auditor. Changing auditors mid-term is possible but must respect legal procedures, independence rules, and may require disclosures. For public interest entities, audit committee involvement and tendering rules apply.

What happens if the auditor finds irregularities or suspected fraud

Auditors assess the impact on the financial statements, extend procedures where needed, and communicate with management and governance bodies. If law requires, serious breaches may be reported to authorities. Management must evaluate corrective actions, potential restatements, and internal control improvements. Legal counsel can help manage communications, liability exposure, and remediation.

Do I have to keep my books and records in German and in euro

Books must be understandable to a knowledgeable third party within a reasonable time. In practice, authorities expect German language documentation and euro amounts for statutory and tax purposes. If records are in another language or currency, you may be required to provide translations or reconciliations on request by the tax office or courts.

What are the penalties for noncompliance with accounting or filing duties

Penalties can include fines for late or missing filings, tax assessments with interest, surcharges for bookkeeping deficiencies, and management liability for damages in serious cases. For nondisclosure to the Federal Gazette, the Federal Office of Justice can impose fines. Persistent violations can affect creditworthiness, procurement eligibility, and licensing in regulated sectors.

Additional Resources

- Finanzamt Kitzingen for local tax matters and audits.- Bayerisches Landesamt für Steuern for Bavarian tax administration guidance.- IHK Würzburg-Schweinfurt for seminars, compliance checklists, and start-up support.- Handwerkskammer für Unterfranken for craft businesses with accounting guidance.- Bundesanzeiger and Unternehmensregister for statutory filing and public disclosure.- Wirtschaftsprüferkammer WPK for auditor oversight and finding licensed auditors.- Abschlussprüferaufsichtsstelle APAS for public oversight of statutory audits.- Institut der Wirtschaftsprüfer IDW for German auditing standards and practice notes.- Deutsches Rechnungslegungs Standards Committee DRSC for German accounting standards and interpretations.- Steuerberaterkammer Nürnberg for locating licensed tax advisors in northern Bavaria.

Next Steps

- Map your obligations: Confirm your legal form, size class, sector-specific rules, and whether you must keep double-entry books, prepare HGB financial statements, file with the Federal Gazette, or undergo a statutory audit.

- Assess systems and records: Review your bookkeeping processes, archiving, and internal controls for GoBD compliance. Prepare for e-invoicing by checking your ERP or invoicing tools and staff readiness.

- Engage the right professionals: For routine bookkeeping and tax, consult a Steuerberater. For statutory audits, select an independent Wirtschaftsprüfer. For questions about liability, disputes, investigations, or complex transactions, engage a lawyer experienced in accounting and auditing law.

- Prepare documentation: Gather organizational documents, prior financial statements, general ledger exports, contracts, tax returns, and board minutes. Good documentation reduces risk and costs.

- Plan the timeline: Work backward from filing and audit deadlines. Coordinate with your auditor and advisors to schedule inventories, cut-off testing, and meetings with management and governance bodies.

- Address findings early: If issues arise such as threshold crossings, going concern uncertainties, or accounting errors, seek legal advice promptly to manage disclosure, remediation, and stakeholder communications.

- Stay current: Monitor changes in thresholds, e-invoicing rules, and disclosure requirements. Local bodies such as the IHK and your tax office can provide updates and practical guidance.