If the consolidated financial statements do not have to be produced in line with a generally accepted accounting standard such as Swiss GAAP FER or IFRS (e.g. for listed companies) – that means that consolidation takes place according to the regulations of the Swiss Code of Obligations– consolidation at book values is still permitted. However, the admissibility of hidden reserves prevents a reliable judgement on the financial situation of the group. Companies are therefore discouraged from using this method.
Auditing consolidated financial statement
If a legal person controls one or more companies, it is obligated to produce a consolidated annual financial statement (group financial statement). Excluded from this are companies which together with the controlled companies do not exceed two of the following thresholds in two consecutive financial years: CHF 20 million total assets, CHF 40 million sales and 250 full-time staff on average for the year. The consolidated annual financial statements are to be audited by a licensed audit expert.
PRÜFAG operates as both a group auditor and an auditor for individual group companies. In the case of the latter, we audit, for instance, the annual financial statements prepared according to IFRS (IFRS packages) of Swiss subsidiaries of international companies.
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Project Lead
Daniel Carotta
+41 44 533 76 00
PRÜFAG Wirtschaftsprüfung AG - Badenerstrasse 144 - 8004 Zürich - Phone +41 44 533 76 00 - info@pruefag.ch
PRÜFAG Lohnbuchkontrollen AG - Badenerstrasse 144 - 8004 Zürich - Phone +41 44 533 76 00 - info@pruefag.ch
IAPA is a global association of independent accountancy and business advisory firms that aims to support its members in providing their clients with a diverse range of professional, comprehensive and cost-effective business solutions, regardless of sector or location, to realise their international objectives. IAPA has over 200 member firms in some 70 countries and ranks amongst the top 25 global accounting organisations whose membership annual turnover is over 1 billion US$.
