The measure is aimed at simplifying compliance for small businesses, with more than 54,000 enterprises expected to benefit from the revised threshold. Companies exceeding the €300,000 turnover limit will continue to undergo a full statutory audit.

 

What This Means for Cyprus Companies

For small businesses (small Cyprus limited by shares companies), the key change is procedural rather than substantive. Eligible companies will undergo a review by their auditors rather than a full-scope audit, while those above the threshold will remain subject to full audit requirements.

 

The change is not expected to significantly affect audit or review fees. In practice, audit and review fees in Cyprus are already relatively low, and auditors are still required to perform extensive work, apply professional judgment, and maintain detailed documentation when conducting reviews.

 

Importantly, review engagements will continue to be subject to regulatory inspection by the Institute of Certified Public Accountants of Cyprus (ICPAC), in the same way as audit engagements. This ensures that quality, transparency, and professional standards are maintained despite the lighter reporting framework.

 

 

Regulatory Oversight Remains Strong

In parallel, the Institute of Certified Public Accountants of Cyprus (SELK) has been designated as the competent authority for setting Financial Reporting Standards, subject to approval by the Minister of Finance. The Minister will also oversee coordination with the European Commission and the official publication of the standards.

 

Overall, the revised framework seeks to reduce unnecessary regulatory burden for smaller enterprises while preserving strong oversight, accountability, and alignment with international financial reporting standards.

 

CYAUSE AUDIT SERVICES

 

CYAUSE Audit Services is a regulated audit and assurance firm offering statutory and internal audit engagements to the majority of its clients over the world, including the United Kingdom, Belgium, Germany and the Nordics. From simple relocation advice to group tax planning and statutory audit engagements, our experts ensure that we can accommodate your tax and relocation needs and off course all compliance requirements for your local Cyprus company or group.

 

CYAUSE Audit Services is an Audit & Assurance firm with offices in Cyprus and the UAE. During 2015 we have been awarded by I.C.P.A.C and the A.C.C.A (local and international association of Chartered Certified Accountants) for the Quality of our Audit Services and our Office's Procedures.

 

Being a Truly International Audit & Assurance firm, we have associates from all over the world and we are constantly looking for new associates to expand our network further. At present, CYAUSE Audit Services operates internationally through its membership with BKR International amongst the largest American associations in the world, Accace Circle, a co-created business community of like-minded BPO providers and advisors who deliver outstanding services with elevated customer experience. Our network covers almost 40 jurisdictions with over 2,000 professionals, it supports more than 10,000 customers, mostly mid-size and international Fortune 500 companies from various sectors, and processes at least 170,000 payslips globally.

 

CYAUSE Audit Services Ltd is also a member of BKR International one of the biggest US Accounting Associations of the word and the 3E Accounting Network, an international accounting network which originates from Hong Kong and has more than 80 members from all over the world.

 

Contact Us

If you would like us to assist you with your investment firm or fund, please contact us at enquiries@cyprusaccountants.com.cy or call us at +357 22 336 309.

 

Learn More about Cyprus Corporate Environment

Information about CYAUSE Audit Services and the Cyprus Corporate & Tax System can be obtained from our Website or our YouTube channel which provides valuable information about the Corporate & Tax Environment of Cyprus.