Premier Bookkeeping and Audit Services for Owners' Corporation
We are an audit firm registered under the Professional Accountants Ordinance (Cap.50) with over 10+ years of solid experience in delivering professional and quality bookkeeping and audit services to Owners’ Corporation in Hong Kong. Our services are handled directly by practising certified public accountants.
What should the Owners' Corporation know?
Compliance and Regulations
According to the Building Management Ordinance (Chapter 344) of HKSAR, Owners’ Corporation that are incorporated in respect of a building which contains more than 50 flats, it is mandatory for them to retain an accountant for the auditing of the financial statement.
Timeline
The management committee is responsible for ensuring the timely preparation and submission of the financial statements.
- Financial statements must be prepared by a management committee within 15 months of the corporation's registration and thereafter every 12 months
- The financial statements, along with the audited accountant's report, must be presented to the owners' corporation at its annual general meeting.
What to Prepare
These requirements serve to enhance financial transparency and accountability within the corporation.
- A summary of the corporation's income and expenditure must be prominently displayed in the building for at least 7 consecutive days every 3 months, ensuring regular accessibility and transparency.
- Within one month after the display period, the corporation must present financial statements, accompanied by an accountant's report, during its annual general meeting.
Professional Bookkeeping and Auditing Services You Need
Bookkeeping Services for Owners’ Corporation
- Preparing NOVA specific report for Owners' Corporation reporting standard (e.g. Executive Summary, PL, BS, Bank Summary, etc.)
- Preparing additional reporting (e.g. Budget Comparison, Monthly / Quarterly IO report based on required format)
- Digitalization on bookkeeping procedures
- Ongoing accounting consultation regarding Owners' Corporation matters
Auditing Services for Owners’ Corporation
- Provision of on-site visit and audit
- Preparing audit report in accordance with statements of Auditing Standards issued by the Hong Kong Society of Accountants
- Attending AGM for answering inquiries from the owners
- Advisory on better report preparation, if necessary
How can NOVA help the Owners' Corporation ?
A Dedicated and Experienced Relationship Manager
You will have a relationship manager, serving as your single point of contact, with professional and industry experience knowledge from the Owners’ Corporation point of view.
- Timely responses with seamless communication
- Personalized approach tailored to your specific needs.
- Understand your corporation including its financial goals and challenges.
Technology-driven Accounting Software:XERO
Xero, a widely recognized and popular online accounting software, simplifies financial management for Owners’ Corporation:
- Remote Access: Xero provides simple, secure access to review income and expenditure records from anywhere, making it convenient for Owners' Corporation to manage their finances remotely.
- Automatic Bank Transactions: For Owners' Corporation using HSBC, Hang Seng Bank, or DBS, Xero automatically imports bank transactions daily into the accounting ledger, saving time and reducing manual data entry.
- Efficient Bank Reconciliation: Owners' Corporation can effortlessly complete bank reconciliations by simply clicking the “OK” button, ensuring accurate and up-to-date financial records.
- Document Attachment: Xero allows Owners' Corporation to attach seven years of financial documents to each transaction, serving as supporting proof for each payment or receipt.
Expertise in Serving Owners’ Corporation
With over 100 happy customers, our dedicated team actively monitors regulations, reminding you of any missing pieces and designing tailored strategies to meet your specific requirements.
Frequently Asked Questions
是否所有香港公司均需要進行審計帳目？
根據香港公司條例，所有於香港註冊的公司均須於每個財政年度委任專業審計師，並於周年股東大會上提交審計報告，以確保公司財務狀況的透明度。
公司何時需要提交審計報告？
一般而言，所有公司收到首份報稅表後，需於發出日期的三個月內向稅務局呈交首份利得稅報稅表。
如果公司以12月31日或3月31日為年結，可以申請整批延期提交報稅表。若以12月31日為年結，則可於8月15日呈交利得稅報稅表及審計報告；若以3月31日為年結，則可於11月15日呈交利得稅報稅表及審計報告。
我應該如何為我的公司訂立年結日?
根據香港財務報告準則及公司條例，新公司在註冊後18個月內可自行選擇財政年度年結日，如果公司以12月31日或3月31日為年結，他們可以在第二個財政年度開始時申請延期提交報稅表，以延遲呈交報稅表及審計報告的期限。
審計師如何按他們的服務收費?
根據預計完成審計工作所需時間，將會決定審計費用。此外，審計師亦會考量發表意見所承擔的專業風險。
完成一份審計報告需要多少時間？
當NOVA 收到費用及所需文件(盡職調查及會計文件)後，我們將會在3-4個月內完成審計。
如果我的香港公司已不活動或營業額較小，我是否仍需要審計帳目?
根據公司條例，一間公司無論有多少盈利或是否活躍，均需進行審計，並於周年股東大會上向股東匯報審計報告。
是否所有香港公司均需要进行审计帐目？
根据香港公司条例，所有于香港注册的公司均须于每个财政年度委任专业审计师，并于周年股东大会上提交审计报告，以确保公司财务状况的透明度。
公司何时需要提交审计报告？
一般而言，所有公司收到首份报税表后，需于发出日期的三个月内向税务局呈交首份利得税报税表。
如果公司以12月31日或3月31日为年结，可以申请整批延期提交报税表。若以12月31日为年结，则可于8月15日呈交利得税报税表及审计报告；若以3月31日为年结，则可于11月15日呈交利得税报税表及审计报告。
我应该如何为我的公司订立年结日?
根据香港财务报告准则及公司条例，新公司在注册后18个月内可自行选择财政年度年结日，如果公司以12月31日或3月31日为年结，他们可以在第二个财政年度开始时申请延期提交报税表，以延迟呈交报税表及审计报告的期限。
审计师如何按他们的服务收费?
根据预计完成审计工作所需时间，将会决定审计费用。此外，审计师亦会考量发表意见所承担的专业风险。
完成一份审计报告需要多少时间？
当NOVA 收到费用及所需文件(尽职调查及会计文件)后，我们将会在3-4个月内完成审计。
如果我的香港公司已不活动或营业额较小，我是否仍需要审计帐目?
根据公司条例，一间公司无论有多少盈利或是否活跃，均需进行审计，并于周年股东大会上向股东汇报审计报告。
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When is an owners’ corporation required to conduct an audit of its financial statements?
According to the Building Management Ordinance (Cap. 344), an owners’ corporation that is incorporated in respect of a building with more than 50 flats must appoint an accountant to audit its financial statements.
The management committee must prepare the first set of financial statements within 15 months from the date of registration of the corporation, and thereafter every 12 months. The audited financial statements, together with the accountant’s report, must be presented to the owners at the annual general meeting.
How should an owners’ corporation handle its income and expenditures?
The owners’ corporation must establish and maintain a general fund in an interest-bearing account at a bank for depositing all money received for the management of the building. The account should be in the name of the corporation and used solely for building management purposes.
Except for a reasonable amount reserved for petty cash expenses, all funds should be deposited into this account without delay. The management committee can decide by resolution the amount to reserve for petty cash and any conditions for handling it.
How long must an owners’ corporation retain its financial records and supporting documents?
As per the Building Management Ordinance, the management committee must keep all books, accounts, records, and supporting documents such as invoices, receipts, and vouchers for at least 6 years. This includes tender documents, contracts, certified minutes of meetings, proxy instruments, and other relevant documents.
What are the key financial responsibilities of the management committee and manager?
The management committee and manager have the following financial duties:
– Prepare a summary of income and expenditure every 3 months, display it prominently in the building for 7 days, and keep it available for inspection by owners
– Prepare the annual income and expenditure statement and balance sheet, and display them prominently in the building within 2 months of the end of the financial year
– Provide copies of budgets, audited statements, and other financial documents to owners upon request and payment of a reasonable copying charge
– Ensure financial statements are signed by authorized committee members and truly reflect the financial position of the corporation
What is the purpose of the annual audit for an owners’ corporation?
The purpose of the annual audit is to verify the truthfulness and fairness of the financial statements prepared by the management committee. The audit provides an independent examination of the corporation’s financial records, ensuring they accurately reflect its financial position and comply with accounting standards. This promotes transparency, accountability, and trust among property owners.
Is there a standardized format for presenting an owners’ corporation’s financial statements?
The Building Management Ordinance does not prescribe a specific format. However, it requires the financial statements to include an income and expenditure statement and a balance sheet. These statements must be signed by the chairman, secretary, and treasurer of the management committee, certifying that they provide a true and fair view of the corporation’s financial position.
Can any certified public accountant (CPA) perform the annual audit for an owners’ corporation?
Yes, any qualified CPA or accountancy firm can be appointed by the owners’ corporation to conduct the annual audit. The selection of the auditor should be made via a resolution at a general meeting of the owners. It is advisable to engage a CPA with experience in auditing owners’ corporations and familiarity with the relevant legal requirements.
How can technology help streamline an owners’ corporation’s accounting and bookkeeping processes?
Cloud-based accounting software like Xero can simplify financial management for owners’ corporations. It allows for remote access to financial records, automatic import of bank transactions, efficient bank reconciliations, and digital attachment of supporting documents. This saves time, reduces manual work, and enables real-time visibility of the corporation’s financial position.
What are some best practices for effective financial management of an owners’ corporation?
Some best practices include:
– Establishing a clear budget with prudent estimates of income and expenses
– Regularly monitoring actual financial performance against the budget
– Implementing proper internal controls and authorization procedures for expenses
– Ensuring timely collection of management fees and follow-up on delinquent payments
– Maintaining separate bank accounts and records for different funds (e.g., general fund, contingency fund)
– Providing regular financial updates and reports to owners to maintain transparency
– Staying up-to-date with legal and regulatory requirements related to financial management
What are the consequences of non-compliance with financial management requirements under the Building Management Ordinance?
Non-compliance with the financial management provisions of the Building Management Ordinance can result in various consequences for the owners’ corporation and its management committee. These may include:
– Legal action by property owners or the government against the corporation or individual committee members
– Fines and penalties imposed by relevant authorities
– Reputational damage and loss of confidence among property owners
– Difficulty in obtaining cooperation from owners for necessary expenditures or building management initiatives
– In extreme cases, the appointment of an administrator by the Lands Tribunal to manage the corporation’s affairs
Still have further questions to ask? Book now for a consultation!
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