Small Entities Obliged To Submit Financial Statements

• Published date: 15 September 2022
• Subject Matter: Accounting and Audit, Tax, Accounting Standards, Income Tax
• Law Firm: Eurofast
• Author: Ms Drilona Likaj

Through the latest ministerial order, the Ministry of Finance has announced the change of National Accounting Standard no. 15, which affects all business units classified as 'micro entities'.

Specifically, starting from the financial period which begins on January 1^st, 2022, the submission of annual financial statements and the keeping of the supporting financial documents will be mandatory for all these entities.

Until today, micro-enterprises submitted electronically the simplified income tax statement, while all economic entities with an annual turnover greater than 5 million ALL had the obligation to submit Financial Statements. Now, this restriction was removed, leading to a standardization of the Reporting methods on all the reporting entities in Albania.

This step was taken to ensure further transparency in the declaration of the annual profit from economic activity and also contributes to the efficiency of taxes collection.

The preparation of Financial Statements, different from the Simplified Income Tax Statement, requires...