Some of the salient legal requirements stipulated for Accountancy and Auditing in Cambodia include but are not limited to the following:
- Financial statements are the basis upon which tax obligations are premised
- Full accounting records must be maintained for a period of 10 years, and all financial transactions must be filed with proper supporting documents
- Accounting records and financial statements are to be in the Khmer language and denominated in Khmer Riel equivalent; a second set of records and statements may be prepared in the English (or foreign language) in which its activities are conducted in
- The tax and accounting year generally coincides with the calendar year although any deviations are permissible so long as the appropriate approvals are properly documented
- All business entities must submit their annual financial statements to be audited by an independent auditor who is registered with the Kampuchea Institute of Certified Public Accountants and Auditors (“KICPAA”)
Similar to most countries and jurisdictions around the world, Accountancy and Audit are subject matters that require professional expert advice and services to ensure corporate compliance and adherence to host country legal and taxation regulations. This is especially important in emerging markets when the bureaucracy and institutions are still developing or undergoing reform, and where there may be variances in the interpretation of obligations and requirements because of different country systems, cultural practices and expectations, among other variables.
Unlike Multinational Corporations (MNCs), SMEs may have smaller operating budgets and hence find it challenging when considering which of these professional service providers should they consider. Factors such as the affordability, reliability, customer service, attention to details among others would weigh heavily in their considerations. We encourage you to peruse the Business Directory in this platform at no charge to shortlist Accounting and Audit service providers for your company’s operational and compliance needs. If you are unable to decide whether it is necessary to engage the services of a big accounting audit firm with an international reputation or a lesser known local or foreign firm that is not as well known, or any other number of choices in between, feel free to enquire with the Aquarii team for further advice.
Feel free to enquire with the Aquarii team should you need further advice.
If you are looking for a more nuanced insight or advice in terms of other indicators/observations not commonly found in publications for a better understanding of how a business or investor can navigate the local environment or seek out collaboration opportunities and trustworthy partners, get in touch with our team at Aquarii. Ask to speak to our CEO if you wish to know why he has decided to make Cambodia his 2nd home, perhaps the strongest testament of his conviction in the potential and opportunities in the Kingdom.