New Audit Thresholds: Impact on company size determination

New Audit Thresholds: Impact on company size determination

As of 1 July 2024, increases to the maximum thresholds that determine the size of a company from an audit perspective have been introduced. These changes have been signed into law under the European Union (Adjustments of Size Criteria for Certain Companies and Groups) Regulations 2024.

As per this new legislation, there will be a 25% increase to the balance sheet and turnover thresholds for ‘micro’, ‘small’, ‘medium’ and ‘large’ companies as set out in the Companies Act 2014. The new thresholds are directly applicable to accounts with financial years beginning on or after 1 January 2024 as well as providing companies with the option to apply these thresholds on or after 1 January 2023, making the new thresholds available from the outset.

Micro

Criteria	Updated Threshold
Balance Sheet Total	<€450,000
Net Turnover	<€900,000
Number of employees	< 10

Small

Criteria	Updated Threshold
Balance Sheet Total	<€7,500,000
Net Turnover	<€15,000,000
Number of employees	< 50

Small Group

Criteria	Updated Threshold
Balance Sheet Total	<€7,500,000 or €9,000,000 Gross
Net Turnover	<€15,000,000 or €18,000,000 Gross
Number of employees	< 50

Medium

Criteria	Updated Threshold
Balance Sheet Total	<€25,000,000
Net Turnover	<€50,000,000
Number of employees	< 250

Medium Group

Criteria	Updated Threshold
Balance Sheet Total	<€25,000,000 or €30,000,000 Gross
Net Turnover	<€50,000,000 or €60,000,000 Gross
Number of employees	< 250

Large

Criteria	Updated Threshold
Balance Sheet Total	<€25,000,000
Net Turnover	<€50,000,000
Number of employees	< 250

We are here to help

If you have any questions in relation to the new adjustments and thresholds, please get in touch with your usual Azets advisor.

We are ready to help

With over 300 colleagues and 4 offices in Dublin, Enniscorthy and Waterford, Azets is part of a team of 9,000 talented, smart people across our international office network. Offering a personal, local approach to supporting Irish businesses, if you’re looking for peace of mind, expert advice and more time, we’re ready to help.

Keith Doyle

Partner | Audit & Assurance

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