Companies incorporated in Thailand are required to submit statutory audited financial statements to the Ministry of Commerce. Statutory audited financial statements are a key component of the company’s corporate tax return (submitted to the Thailand Revenue Department) within five months after the company’s year-end.

Statutory audits can be performed by any licensed certified public accountant in Thailand, but companies should follow due care when choosing auditors.

Baker Tilly Audit goes beyond the traditional audit by ensuring international standards are met. We do not produce mechanical statutory audits. Baker Tilly audits are performed to ensure the Managing Directors and Board can satisfy corporate governance requirements by fully understanding how their accounting staff present the company’s records.

 

Our professionals are experienced CPAs in performing audits of financial statements prepared in accordance with International Financial Reporting Standards (IFRS) and Accounting Principles Generally Accepted in the United States (US GAAP). 

 

Our audits are carried out with the primary focus of auditing the IFRS and US GAAP prepared financial statements but in conjunction with the statutory requirements. This is so that the company can also provide the Thai authorities with the required statutory financial statements since IFRS and US GAAP financials are not accepted.

When auditing IFRS and US GAAP financial statements are required, we not only have the experience and the depth of knowledge, we also have a resident trained partner.

Our partner and director, Bayani Lauraya, is a licensed US CPA with 9 years of audit experience in the U.S. He has spent the last 3 years in Asia reviewing audits of US GAAP / IFRS financial statements.
 

 

 

 

Whilst our audits are conducted to satisfy Thailand’s statutory requirements, we also prepare reporting packages (where required) for the group’s auditor to comply with group or parent company requirements.

Reporting packages are often required to fit IFRS or US GAAP plus the country’s accounting standards. Most developed countries require additional reporting requirements, especially if the parent or group is a listed company.

Our professionals are trained and have the experience in conducting audits and reviews of reporting packages for consolidation purposes.
 

The most common type of special report purpose is the Report on Agreed-Upon Procedures (AUP) under the International Standard on Related Services.  The primary objective of AUP engagements if for the auditor to carry out procedures of an audit nature to which the auditor and the entity and any appropriate third parties have agreed and to report on factual findings. 

 

Typical AUP engagements include:

• Company Inventory Valuation- to ensure compliance with the company’s accounting policy on inventory including any related write downs resulting from slow moving or obsolete products.
  
• Report on Special Purpose Audit (under International Standard on Auditing 800).
  
• Report on Financial Statements Prepared in Accordance with a Comprehensive Basis of Accounting other than International Accounting Standards or National Standards.
  
• Reports on a Component of Financial Statements
  
• Reports on Compliance with Contractual Agreements
  
• Reports on Summarized Financial Statements
   

 

Listed companies and their subsidiaries are required to ensure they have effective designed accounting and internal controls. We can perform a review of the company’s internal controls to ensure that it is free of material weakness or assess the effectiveness of the company’s internal controls. Such engagements may be performed periodically (to meet regulatory requirements), or as a special purpose report, to determine if any of the controls are deficient.

 

 

 

Reviews of prospective financial information and budgets fall under the requirements of International Standard on Assurance Engagement 3400.

Potential investors may request us to review the target company’s prospective financial information. In reviewing the prospective financial information, our work includes an examination of management’s best estimate and hypothetical assumptions. Our staff are well trained in these disciplines. It is imperative that the investor selects an auditor that understands the concept of future events (based on assumptions) that may occur and possible actions undertaken by management of the target company