Best Accounting & Auditing Lawyers in Roskilde

About Accounting & Auditing Law in Roskilde, Denmark

Accounting and auditing are crucial elements of the Danish business environment, including for businesses and individuals in Roskilde. The legal framework governing these fields ensures transparency, accuracy, and accountability in financial reporting. Accounting is primarily concerned with the recording, summarization, and reporting of financial transactions. Auditing, in contrast, involves the independent examination of those financial statements to verify their accuracy and compliance with applicable standards. In Roskilde, companies must comply with the national regulations set forth by the Danish Business Authority (Erhvervsstyrelsen) and applicable international standards.

Why You May Need a Lawyer

There are many situations where individuals, entrepreneurs, or company representatives in Roskilde might require legal guidance concerning accounting and auditing:

• Starting a business and needing clarity on mandatory accounting requirements
• Dealing with regulatory audits or investigations by authorities
• Facing disputes regarding financial statements or company valuations
• Addressing suspected fraud or irregularities in financial documents
• Navigating mergers, acquisitions, or sales that involve due diligence reviews
• Understanding tax obligations and optimizing tax reporting
• Complying with Danish and EU data protection laws impacting financial records
• Responding to shareholder or stakeholder queries about financial management
• Ensuring compliance with IFRS (International Financial Reporting Standards) or Danish GAAP
• Managing cross-border transactions or international accounting matters

Local Laws Overview

Accounting and auditing responsibilities in Roskilde, as in all of Denmark, are regulated by several key legal frameworks:

• The Danish Financial Statements Act (Årsregnskabsloven) - establishes the requirements for company accounting, bookkeeping, and annual reporting.
• The Danish Bookkeeping Act - sets standards for how financial transactions must be recorded and kept.
• Auditor Oversight - professional audits in Denmark must be performed by state-authorized or registered public accountants, supervised by the Danish Business Authority.
• Compliance with the International Standards on Auditing (ISA) is required for larger entities.
• Specific tax legislation governs the reporting and auditing duties of companies and individuals.
• Smaller businesses may qualify for simplified reporting requirements, but all must keep accurate and accessible financial records.

Failure to comply with these laws can lead to penalties, criminal liability, or the loss of business licenses. Legal counsel can help businesses understand these obligations and avoid costly mistakes.

Frequently Asked Questions

What records am I legally required to keep as a business owner in Roskilde?

All businesses must keep accurate and detailed accounting records of all financial transactions, including receipts, invoices, contracts, payroll records, and bank statements. These must be retained for at least five years.

Who can perform audits for my company?

Audits must be carried out by state-authorized or registered public accountants. Smaller companies may be exempt from mandatory audits, depending on turnover, balance sheet totals, and number of employees.

What are the penalties for failing to meet accounting or auditing obligations?

Penalties include fines, demands for revised reports, potential loss of business registration, and in severe cases, criminal prosecution. Government authorities may conduct investigations or audits to ensure compliance.

Are there simplified accounting rules for small businesses?

Yes, small businesses that meet certain thresholds (relating to turnover, number of employees, and balance sheet totals) may qualify for simplified accounting and may also be exempt from mandatory audits.

Do I need to use any specific accounting system or software?

There is no legal requirement to use a specific system, but your chosen method must ensure completeness, accuracy, and retrievability of records as outlined in the Bookkeeping Act.

How do I know if my company needs an audit?

Requirements are based on company size and structure. Companies in higher accounting classes (Class B, C, or D) usually require audits. Consulting a legal or accounting professional can determine if your business falls under mandatory audit rules.

What standards do financial statements need to adhere to?

Financial statements must follow Danish GAAP or IFRS, depending on company size and activity, as specified in the Financial Statements Act.

How can I protect sensitive financial data?

Danish data protection laws and the EU General Data Protection Regulation (GDPR) require secure management of all records containing personal or sensitive information. Consult a legal advisor to ensure compliance.

What should I do if there is suspected fraud in my accounts?

Immediate legal advice is recommended. You may need to conduct an internal investigation and potentially notify authorities as required by Danish law.

Can I handle all my accounting and auditing needs in-house?

For smaller companies, this is possible, but must comply with all legal requirements. Larger businesses or those subject to audit must use external authorized auditors.

Additional Resources

If you need further information or assistance, consider the following resources:

• Danish Business Authority (Erhvervsstyrelsen) - offers official guidance on accounting and auditing rules.
• The Danish Association of State-Authorized Public Accountants (FSR) - provides information on qualified auditors and auditing standards.
• Roskilde Municipality Business Services - supports local entrepreneurs and businesses with regulatory questions.
• Tax Authority (SKAT) - oversees tax reporting and compliance relevant to accounting matters.
• Legal aid clinics and local chambers of commerce - often offer free or low-cost legal consultations on accounting and auditing issues.

Next Steps

If you need legal advice or support with accounting and auditing in Roskilde, Denmark, take the following steps:

• Gather all relevant documents, including your company’s financial statements, bookkeeping records, and correspondence with authorities.
• Define your main concerns or questions clearly to help streamline your consultation.
• Contact a lawyer or legal advisor with experience in Danish business and accounting law. Check for their registration and credentials.
• In urgent or complex cases, seek a specialist in accounting law or a state-authorized public accountant familiar with local regulations.
• Follow up as needed with governmental resources or business support organizations for ongoing compliance.

Getting expert legal assistance can help you ensure compliance, avoid costly mistakes, and focus on growing your business with peace of mind.