Companies (Corporate Governance, Enforcement and Regulatory Provisions) Act 2024
|
Audit exemption (non-group situation) not available in certain cases | ||
|
22. The Principal Act is amended by the substitution of the following section for section 363: | ||
“363. (1) Subject to subsection (2), and notwithstanding that section 358 is complied with, a company is not entitled to the audit exemption referred to in that section in respect of its statutory financial statements for the 2 financial years immediately succeeding a financial year (in this section referred to as the ‘relevant financial year’) where the company— | ||
(a) failed to deliver to the Registrar, in compliance with section 343, the company’s annual return in respect of the relevant financial year, and | ||
(b) previously failed to deliver to the Registrar, in compliance with section 343, the company’s annual return in respect of any of the 5 financial years immediately preceding the relevant financial year. | ||
(2) The following shall be disregarded for the purposes of paragraph (b) of subsection (1): | ||
(a) a failure by a company to deliver its annual return which is the company’s first annual return as referred to in section 349; | ||
(b) a failure by a company to deliver its annual return before the operative date. | ||
(3) In this section, ‘operative date’ means the date of commencement of section 22 of the Companies (Corporate Governance, Enforcement and Regulatory Provisions) Act 2024.”. |