Auditor Reports – Exempt Company Types

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Certain company types in certain circumstances are exempt from filing financial statements with their annual return but they must file an auditors report.

 Companies Limited by Guarantee (CLG)
Section 1220 (2)(a) of the Companies Act 2014 states that the statutory auditors of a CLG shall prepare a separate report to the directors which:

      (i) confirms that they audited the relevant statutory financial statements for the relevant financial year, and
      (ii) includes within it the report made to the members of the CLG pursuant to Section 391 of the 2014 Act, and
      (b) a copy of the report prepared under paragraph (a) shall be annexed to the annual return delivered by the CLG to the Registrar.

 
Unlimited Companies (ULC)
Section 1277 of the Companies Act 2014 states that the statutory auditors of a non-designated ULC shall prepare, and furnish to the directors of the company, a separate report which—

      (a) confirms that the statutory auditors audited the financial statements of the company for the relevant financial year, and
      (b) includes within it the report made by them to the members of the company pursuant to section 391 on those financial statements.
      Where a report is prepared, there shall be attached to the annual return of the non-designated ULC a copy of the report that satisfies the following conditions:

        – it is a true copy of the original save for the difference that the signature or signatures on the original, and any date or dates thereon, shall appear in typeset form on the copy, and
        – it is accompanied by a certificate of a director and the secretary of the non-designated ULC, that bears the signature of the director and the secretary in electronic or written form, stating that the copy is a true copy of the original (and the foregoing statement need not be qualified on account of the difference permitted by paragraph (a) as to the form of a signature or of a date).

 
Designated Activity Companies (DAC)
Section 996 of the Companies Act 2014 states that the statutory auditors of the DAC shall prepare a separate report to the directors which:

      (i) confirms that they audited the relevant statutory financial statements for the relevant financial year; and
      (ii) includes within it the report made to the members of the DAC pursuant to Section 391 of the 2014 Act, and
      (iii) a copy of the report prepared under paragraph (a) of Section 996 of the Act shall be annexed to the annual return delivered by the DAC to the Registrar.