New thresholds triggering independent audit requirements for Turkish companies have been issued and will be applicable as of 1 January 2023. Subject to the exceptions described below, if a company exceeds at least two of the following three thresholds for two consecutive financial years, it will be required to engage an independent auditor:
– Total Assets: TRY 75 million (former threshold: TRY 35 million)
– Net Sales: TRY 150 million (former threshold: TRY 70 million)
– Number of Employees: 150 (former threshold: 175)
Certain regulated companies are subject to lower thresholds. Additionally, certain types of regulated entities must at all times obtain an independent audit of their financial statements, without regard to any threshold. On the other hand, certain companies (e.g., certain state-owned enterprises) are exempt from independent audit.
For more detailed information, please see our Knowledge Hub, or contact any member of our Banking and Finance team or any of your regular contacts at our Firm.