Czech Republic : Accounting and Auditing
Financial reporting and auditing requirements in the Czech Republic are currently in transition from complying with national standards to complying with International Accounting Standards (IAS), International Standards on Auditing (ISA), and the Eu...
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| Format: | Accounting and Auditing Assessment (ROSC) |
| Language: | English en_US |
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Washington, DC
2013
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| Online Access: | http://documents.worldbank.org/curated/en/2003/07/6555954/czech-republic-report-observance-standards-codes-rosc-accounting-auditing http://hdl.handle.net/10986/14464 |
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okr-10986-144642021-04-23T14:03:18Z Czech Republic : Accounting and Auditing World Bank ACCOUNTING ACCOUNTING POLICIES ACCOUNTING PRINCIPLES ACCOUNTING STANDARDS ACCOUNTING TREATMENT ACQUISITION COSTS AFFILIATES ANNUAL FINANCIAL STATEMENTS ASSURANCE AUDITING AUDITING STANDARDS AUDITORS AUDITS BAD DEBT BAD DEBT LOSSES BANK FAILURE BANK REGULATION BANKING SYSTEM BANKS CAPITALIZATION CONSOLIDATED FINANCIAL STATEMENTS CONSOLIDATION CONTINGENT LIABILITIES CONTINGENT LIABILITY CORRESPONDENT BANKS ECONOMICS EMPLOYMENT EXCHANGE RATES EXTERNAL AUDITORS EXTRAORDINARY INCOME EXTRAORDINARY ITEMS FINANCIAL INFORMATION FINANCIAL LEASING FINANCIAL MANAGEMENT FINANCIAL PERFORMANCE FINANCIAL REPORTING FOREIGN EXCHANGE GUIDELINES INDEMNITY INDEMNITY INSURANCE INSPECTIONS INSURANCE INSURANCE COMPANIES INSURANCE CONTRACTS INSURANCE SUPERVISION INTANGIBLE ASSETS INTEGRITY INTEREST RATES INTERNATIONAL ACCOUNTING STANDARDS LEGISLATION LEVEL PLAYING FIELD LIFE INSURANCE MANAGEMENT MANDATES NET ASSETS NET PROFIT OPERATING LEASES PREMIUMS PRESENT VALUE PROGRAMS PRUDENTIAL REGULATIONS RATING AGENCIES RESERVE REQUIREMENTS RESERVES RETAINED EARNINGS RETIREMENT SAVINGS SAVINGS ACCOUNTS SECURITIES SECURITIES MARKETS SHARE CAPITAL SHAREHOLDERS SOLVENCY SUBSIDIARIES SUBSIDIARY TRADING TRANSACTION COSTS TRANSPARENCY Financial reporting and auditing requirements in the Czech Republic are currently in transition from complying with national standards to complying with International Accounting Standards (IAS), International Standards on Auditing (ISA), and the European Union (EU) Directives. By law, the Czech Republic seeks to attain maximum compliance with the EU Fourth and Seventh Directives and the EU Regulation on the use of IAS, and to create an environment for implementing IAS for the financial statements of public interest entities by 2005. Small- and medium-size enterprises prepare their financial statements in accord with Czech Accounting Standards, which are largely based on the EU Directives and IAS. In practice, compliance with certain complex EU Directives and IAS requirements, including those dealing with consolidation and deferred tax, has been delayed. Presently, compliance with IAS is not effectively enforced. The transition to full IAS compliance for public interest entities will require extensive education in a different style and philosophy of accounting requirements. The transition to full IAS will require a culture shift to reduce the influence of tax accounting on general-purpose financial statements. By law, the Czech Republic seeks to comply with the EU Eighth Directive and ISA. There are, however, serious issues because Czech Standards on Auditing remain less robust than ISA, the Chamber of Auditors in the Czech Republic (CACR) has not adopted the International Federation of Accountants Code of Ethics, and certain EU Recommendations on auditor's independence and quality assurance have not yet been endorsed. While the Chamber of Auditors is aware of the challenges it faces, the transition to full ISA audits requires extensive education and strict enforcement of standards. This report draws upon recent international experience in developed economies and accession countries, as well as expected amendments to EU Directives, and recommends that the current self-regulation of the audit profession be reviewed and an adequate oversight mechanism established. 2013-07-23T14:44:14Z 2013-07-23T14:44:14Z 2003-07-17 http://documents.worldbank.org/curated/en/2003/07/6555954/czech-republic-report-observance-standards-codes-rosc-accounting-auditing http://hdl.handle.net/10986/14464 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Washington, DC Economic & Sector Work :: Accounting and Auditing Assessment (ROSC) Economic & Sector Work Europe and Central Asia Czech Republic |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACCOUNTING ACCOUNTING POLICIES ACCOUNTING PRINCIPLES ACCOUNTING STANDARDS ACCOUNTING TREATMENT ACQUISITION COSTS AFFILIATES ANNUAL FINANCIAL STATEMENTS ASSURANCE AUDITING AUDITING STANDARDS AUDITORS AUDITS BAD DEBT BAD DEBT LOSSES BANK FAILURE BANK REGULATION BANKING SYSTEM BANKS CAPITALIZATION CONSOLIDATED FINANCIAL STATEMENTS CONSOLIDATION CONTINGENT LIABILITIES CONTINGENT LIABILITY CORRESPONDENT BANKS ECONOMICS EMPLOYMENT EXCHANGE RATES EXTERNAL AUDITORS EXTRAORDINARY INCOME EXTRAORDINARY ITEMS FINANCIAL INFORMATION FINANCIAL LEASING FINANCIAL MANAGEMENT FINANCIAL PERFORMANCE FINANCIAL REPORTING FOREIGN EXCHANGE GUIDELINES INDEMNITY INDEMNITY INSURANCE INSPECTIONS INSURANCE INSURANCE COMPANIES INSURANCE CONTRACTS INSURANCE SUPERVISION INTANGIBLE ASSETS INTEGRITY INTEREST RATES INTERNATIONAL ACCOUNTING STANDARDS LEGISLATION LEVEL PLAYING FIELD LIFE INSURANCE MANAGEMENT MANDATES NET ASSETS NET PROFIT OPERATING LEASES PREMIUMS PRESENT VALUE PROGRAMS PRUDENTIAL REGULATIONS RATING AGENCIES RESERVE REQUIREMENTS RESERVES RETAINED EARNINGS RETIREMENT SAVINGS SAVINGS ACCOUNTS SECURITIES SECURITIES MARKETS SHARE CAPITAL SHAREHOLDERS SOLVENCY SUBSIDIARIES SUBSIDIARY TRADING TRANSACTION COSTS TRANSPARENCY |
| spellingShingle |
ACCOUNTING ACCOUNTING POLICIES ACCOUNTING PRINCIPLES ACCOUNTING STANDARDS ACCOUNTING TREATMENT ACQUISITION COSTS AFFILIATES ANNUAL FINANCIAL STATEMENTS ASSURANCE AUDITING AUDITING STANDARDS AUDITORS AUDITS BAD DEBT BAD DEBT LOSSES BANK FAILURE BANK REGULATION BANKING SYSTEM BANKS CAPITALIZATION CONSOLIDATED FINANCIAL STATEMENTS CONSOLIDATION CONTINGENT LIABILITIES CONTINGENT LIABILITY CORRESPONDENT BANKS ECONOMICS EMPLOYMENT EXCHANGE RATES EXTERNAL AUDITORS EXTRAORDINARY INCOME EXTRAORDINARY ITEMS FINANCIAL INFORMATION FINANCIAL LEASING FINANCIAL MANAGEMENT FINANCIAL PERFORMANCE FINANCIAL REPORTING FOREIGN EXCHANGE GUIDELINES INDEMNITY INDEMNITY INSURANCE INSPECTIONS INSURANCE INSURANCE COMPANIES INSURANCE CONTRACTS INSURANCE SUPERVISION INTANGIBLE ASSETS INTEGRITY INTEREST RATES INTERNATIONAL ACCOUNTING STANDARDS LEGISLATION LEVEL PLAYING FIELD LIFE INSURANCE MANAGEMENT MANDATES NET ASSETS NET PROFIT OPERATING LEASES PREMIUMS PRESENT VALUE PROGRAMS PRUDENTIAL REGULATIONS RATING AGENCIES RESERVE REQUIREMENTS RESERVES RETAINED EARNINGS RETIREMENT SAVINGS SAVINGS ACCOUNTS SECURITIES SECURITIES MARKETS SHARE CAPITAL SHAREHOLDERS SOLVENCY SUBSIDIARIES SUBSIDIARY TRADING TRANSACTION COSTS TRANSPARENCY World Bank Czech Republic : Accounting and Auditing |
| geographic_facet |
Europe and Central Asia Czech Republic |
| description |
Financial reporting and auditing
requirements in the Czech Republic are currently in
transition from complying with national standards to
complying with International Accounting Standards (IAS),
International Standards on Auditing (ISA), and the European
Union (EU) Directives. By law, the Czech Republic seeks to
attain maximum compliance with the EU Fourth and Seventh
Directives and the EU Regulation on the use of IAS, and to
create an environment for implementing IAS for the financial
statements of public interest entities by 2005. Small- and
medium-size enterprises prepare their financial statements
in accord with Czech Accounting Standards, which are largely
based on the EU Directives and IAS. In practice, compliance
with certain complex EU Directives and IAS requirements,
including those dealing with consolidation and deferred tax,
has been delayed. Presently, compliance with IAS is not
effectively enforced. The transition to full IAS compliance
for public interest entities will require extensive
education in a different style and philosophy of accounting
requirements. The transition to full IAS will require a
culture shift to reduce the influence of tax accounting on
general-purpose financial statements. By law, the Czech
Republic seeks to comply with the EU Eighth Directive and
ISA. There are, however, serious issues because Czech
Standards on Auditing remain less robust than ISA, the
Chamber of Auditors in the Czech Republic (CACR) has not
adopted the International Federation of Accountants Code of
Ethics, and certain EU Recommendations on auditor's
independence and quality assurance have not yet been
endorsed. While the Chamber of Auditors is aware of the
challenges it faces, the transition to full ISA audits
requires extensive education and strict enforcement of
standards. This report draws upon recent international
experience in developed economies and accession countries,
as well as expected amendments to EU Directives, and
recommends that the current self-regulation of the audit
profession be reviewed and an adequate oversight mechanism established. |
| format |
Economic & Sector Work :: Accounting and Auditing Assessment (ROSC) |
| author |
World Bank |
| author_facet |
World Bank |
| author_sort |
World Bank |
| title |
Czech Republic : Accounting and Auditing |
| title_short |
Czech Republic : Accounting and Auditing |
| title_full |
Czech Republic : Accounting and Auditing |
| title_fullStr |
Czech Republic : Accounting and Auditing |
| title_full_unstemmed |
Czech Republic : Accounting and Auditing |
| title_sort |
czech republic : accounting and auditing |
| publisher |
Washington, DC |
| publishDate |
2013 |
| url |
http://documents.worldbank.org/curated/en/2003/07/6555954/czech-republic-report-observance-standards-codes-rosc-accounting-auditing http://hdl.handle.net/10986/14464 |
| _version_ |
1764429150002610176 |