Michael Ahern announces hike in Audit Exemption levels

Minister Michael Ahern today (Thursday 11^th May 2006) confirmed that he is increasing significantly the audit exemption threshold, the level below which companies are relieved of the obligation to engage an independent external auditor. The minister said he plans to raise the turnover exemption limit to €7.3million (and the consequential balance sheet figure to €3.65million). €7.3million is the maximum turnover exemption threshold permitted under EU law. As Minister for Trade and Commerce, Michael Ahern has responsibility for the Company Law brief in the Department of Enterprise, Trade and Employment.

"The debate on the appropriate level at which to pitch the exemption has been in progress for some time now", the Minister noted, "and I have been listening to the various lines of reasoning put forward". "There is need for balance between regulatory prudence and responsiveness to the interests and concerns of small businesses", he continued.

The minister added that he was hopeful of facilitating the introduction of the new audit exemption regime in legislation planned under his Departmental remit.

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