Accounting & financial reporting

Bookkeeping

All companies established in Malta are required to maintain adequate and updated records in line with applicable reporting standards and VAT legislation. The accepted reporting standards in Malta are the General Accounting Principles for Small and Medium-Sized Entities (GAPSME) and the International Financial Reporting Standards (IFRS) as adopted by the EU

Records are to be maintained in financial periods of 12 months, where the first financial period of the company may range from 6 months to 18 months, depending on the incorporation date and the preferred year end date, which is by default the calendar year end.

A2CO assists companies established in Malta and in the UK to maintain accurate records including, if required, the preparation of invoices also in line with Maltese VAT legislation and the processing of payments. While we do not audit underlying transactions, our team of professionals takes great care in ensuring that any agreements, invoices, or other supporting documentation is in line with applicable regulations and are properly reflected in the books.

Audit Coordination for Compliance and Quality

Annually, companies must undergo a statutory financial audit with a practicing auditor. Even though there is an audit exemption for micro companies in Malta’s Companies Act, annual statutory audits remain applicable to all companies established in Malta as a requirement arising from tax legislation.

A2CO provides comprehensive assistance to clients in coordinating these annual audits. We work with the qualified auditor of your choice, serving as a central point of contact for any queries that arise during the audit process. Our goal is to facilitate a smooth and efficient audit experience.

Our team of seasoned professionals is dedicated to ensuring that your company’s financial accounts are audited to the highest standards. We focus on delivering a set of high-quality audited accounts, meticulously prepared to meet both statutory deadlines and regulator standards. With A2CO, you can be assured of comprehensive support throughout the statutory audit process, ensuring compliance and peace of mind.

In order for an entity to qualify as an SME (either Small or Medium), 2 out of 3 criteria must be satisfied:

	Small	Medium
Balance Sheet Total	≤ €4,000,000	≤ €20,000,000
Total Revenue	≤ €8,000,000	≤ €40,000,000
Average number of employees	≤ 50	≤ 250

The reporting requirements for each of the size criteria are the following:

	Small	Medium
Directors’ Report		■
Balance Sheet	■	■
Income Statement	■	■
Statement of Changes in Equity		■
Statement of Cashflows		■
Notes to the Financial Statements	■	■