Expected loosening of obligations: Higher thresholds for statutory audit from 1 January 2026

As mentioned in our previous article on the new categorisation of accounting entities, the changes in the accounting area do not end there. The amendment to the Accounting Act concerning the obligation to have financial statements audited by an auditor is effective from 1 January 2026. The amendment significantly reduces the scope of accounting entities subject to mandatory audit. The audit obligation remains mandatory only for medium-sized and large accounting units; for small units, the obligation now ceases regardless of the size of assets, turnover or number of employees. Public interest entities (such as banks and insurance companies) remain an exception; they will continue to undergo audits even if they fall into the category of small accounting entities.

The primary criterion for whether or not you will be subject to a statutory audit of financial statements remains the category of entity. However, to avoid confusion, it is important to distinguish at the same time, for which accounting period the new rules apply. If an entity starts its accounting period before 1 January 2026 – for example, 1 October 2025 with an end date of 30 September 2026 – it follows the original rules throughout that accounting period and the audit obligation is assessed according to the existing limits set out in section 20 of the Accounting Act. The new regime, including the removal of the obligation for small entities, will apply for the first time to accounting periods beginning on or after 1 January 2026.

This change will be especially for existing and future small accounting units, which will be required to be audited by the end of 2025, provided they comply with the rules set out in the original Accounting Act. As of the 2026 financial year, the audit obligation will no longer exist in connection with the amendment to the Accounting Act.

We recommend always checking which category the accounting entity currently falls into, the period for which it prepares its financial statements and the accounting period for which it assesses the obligation/non-obligation to audit.

If you have any questions on this topic, please do not hesitate to contact us, we will be happy to help you not only in this area.