Every entrepreneur has a duty to keep accounts. Many entrepreneurs are subject to the double-entry bookkeeping system. The entrepreneur can decide whether to keep his own books or to appoint an accountant or an accounting firm to do so.
When do I need an accountant?
Are you planning to start a business? First of all, you need to choose the type of business. That is, whether you plan to run your business as a sole trader or set up a company. The most common form of business is an Ltd (limited liability company).
Do I need an accountant if I set up an Ltd.?
When you set up an Ltd., you need to choose an accountant to handle the bookkeeping. From a tax and accounting perspective, the first obligation of the founder of an Ltd. is to register with the tax office as an income tax payer. The deadline for applying for registration is the end of the calendar month following the month in which the entrepreneur established the Ltd. The tax office then assigns the VAT number and sends the entrepreneur a certificate of registration within 30 days. This certificate must be returned to the tax office by each entrepreneur in the event of the dissolution of the company or a change in the name or registered office of the company.
Our accountants recommend that you find an accountant as soon as you set up your Ltd. The reason is simple. Every Ltd. must communicate electronically with the tax office. Electronic communication with the tax office should be part of working with any accounting company. This form of communication is done through the tax advisor and on the basis of a power of attorney granted by you. Such a power of attorney will make not only your business but also your life much easier and you will not have to stress about whether you have filed your tax returns on time. Your accountant will be in charge of all this.
According to the laws of the Slovak Republic, every limited liability company should open books of accounts and keep books of account from the day of its incorporation. Hence, you need to seek the services of an accountant as soon as possible. If you do not have a turnover of more than approximately €50,000 right at the start of your business and you do not become a voluntary VAT payer, you do not need to seek accountancy services immediately. If you are not a monthly VAT payer, keep in touch with your accountant at least every quarter. This will avoid the unpleasant situation of being surprised by a high tax liability at the end of the year.
How do I know if I have a reliable accountant?
You will only find out if your accountant is reliable after you have worked and communicated with them. Communication is very important in the business relationship between the Ltd. and the accountant. The management should regularly send the accounting documents and a reliable accountant should regularly inform the management about the preliminary results and tax obligations of the Ltd.
Do not hesitate to contact us .