What are the legal requirements for a balance sheet?
November 29, 2023 | 50,00 EUR | answered by Xenia Zellerbach
Dear tax consultancy,
I have a question regarding the legal requirements for a balance sheet. As the managing director of a medium-sized company, I am responsible for the preparation of the balance sheet and want to ensure that all legal regulations are complied with.
Currently, in our company, we have been conducting accounting according to the Commercial Code (HGB). However, I have concerns about whether we are also meeting all tax-related requirements and whether we may have made mistakes that could lead to legal consequences.
My concerns stem from the fact that I do not know exactly which legal regulations and standards need to be followed when preparing a balance sheet and whether we may have violated them. Therefore, I would like to learn from you what specific legal requirements are placed on a balance sheet and what steps we can take to ensure that our balance sheet complies with legal regulations.
I kindly ask for your expert support and advice to ensure that our company does not take any legal risks and that we prepare our balance sheet properly.
Thank you in advance for your help.
Sincerely,
Paul Knorr
Dear Mr. Knorr,
Thank you for your inquiry regarding the legal requirements for a balance sheet. As the managing director of a medium-sized company, it is important that you ensure that your balance sheet complies with legal regulations to avoid legal risks.
First and foremost, it is important to know that the preparation of a balance sheet must be done in accordance with both commercial and tax law regulations. The Commercial Code (HGB) governs the commercial requirements for accounting, while the Income Tax Act (EStG) and the Tax Code (AO) set out the tax regulations.
In terms of commercial requirements, you must ensure that the balance sheet adheres to the principles of proper accounting. This includes the completeness, accuracy, clarity, and truthfulness of the balance sheet, as well as compliance with the accounting and valuation regulations in accordance with the HGB. It is important that all assets, liabilities, and equity positions are correctly recorded and valued.
In addition, you must adhere to the tax requirements to ensure that your balance sheet is accurate for tax purposes. It is important that you comply with all tax regulations and consider, for example, tax depreciation and valuation regulations.
To ensure that your balance sheet complies with legal regulations, I recommend consulting an experienced tax advisor who can assist you in preparing your balance sheet. A tax advisor can not only help you comply with legal requirements, but also identify and correct any potential errors before they lead to legal consequences.
I hope that this information has been helpful and I am available to answer any further questions you may have. Thank you for your trust and inquiry.
Sincerely,
Xenia Zellerbach
