Draft Law of Ukraine

"On Amendment of the Law of Ukraine "On Auditing Activity"

Amendments suggested by the draft provide an equal opportunity to foreign natural persons and stateless persons to perform auditing activity same as to Ukrainian citizens. For this purpose they shall have higher education, which is recognized in Ukraine, and obtain a respective certificate for engaging in auditing activity. Auditing firms and auditors providing auditing services individually shall be registered in the Register of Auditing Firms. No license is required for performing the given type of activity.

An auditor shall have the right to provide auditing services individually only starting from the date of obtaining the certificate on state registration (re-registration) of the subject of entrepreneurial activity – natural person – and if a valid certificate is available.

All expenditures of an enterprise on performing auditing examination shall be taken at the expense of the enterprise’s profits (currently such expenditures are related to the account of growing cost of products, services).

In order to ensure independent activity of an auditor and unbiased results of their activity, the draft envisages that founders, owners and officials of auditing firms shall be prohibited from interfering with the procedure for performing auditing in any form.

The draft, if approved, will permit bringing the Law of Ukraine "On Auditing Activity" to conformity with the Law of Ukraine "On Licensing Certain Types of Economic Activity", as well as requirements of WTO agreements related to access of foreigners to the national labor markets and to provision of them with the right to engage in professional activity.