Commercial companies, such as s.r.o., as well as sole proprietors registered in the Commercial Register, are required to book in double-entry bookkeeping.
According to § 2 par. 5 of the Accounting Act, a business company accounting in the double-entry accounting system is obliged to classify itself in one of the following size groups:
Micro accounting unit
An accounting unit that meets at least two of the following conditions is classified into this size group:
- the total amount of assets did not exceed 350,000 euros,
- net turnover did not exceed 700,000 euros,
- the average recalculated number of employees during the accounting period did not exceed 10.
Small accounting unit
An accounting unit that meets at least two of the following conditions is classified into this size group:
- the total amount of assets exceeded the amount of 350,000 euros, but did not exceed the amount of 4,000,000 euros,
- the net turnover exceeded the amount of 700,000 euros, but did not exceed the amount of 8,000,000 euros,
- the average recalculated number of employees during the accounting period exceeded 10 and did not exceed 50.
Large accounting unit
An accounting unit that meets at least two of the following conditions is classified into this size group:
- the total amount of assets exceeded 4,000,000 euros,
- net turnover exceeded 8,000,000 euros,
- the average recalculated number of employees during the accounting period exceeded 50.
Depending on the size group in which the limited liability company will be included, it has an impact on several factors, such as accounting for deferred income tax (a micro accounting unit does not account for it), the obligation to account through analytical accounts of relationships between connected accounting units, etc.
When keeping accounts, the limited liability company accounts mainly in the general ledger and in the journal. The business company is obliged to open these books according to § 16 of the Accounting Act, e.g. on the day of its creation or always on the first day of the accounting period, and conversely, it has the obligation to close these books on the last day of the accounting period or on the day of its termination. For example, if the s.r.o.'s accounting period is a calendar year, it will open the accounting books on January 1. and will close them on 31.12.
Subsequently, the accounting unit within 3 months after the end of the accounting period, e.g. after the end of the calendar year, it is obliged to draw up financial statements and file a tax return. The accounting unit can ask the tax office for a postponement, for an additional 3 months.
If the company is a VAT payer, our accountants file the tax return for you every month. If you employ employees, our services also include a payroll.
We give our clients individual attention and with our accounting services we relieve them of unnecessary administration and the need to follow current laws in the area of taxes. In addition, our accountants speak Slovak, Russian, and English fluently, which increases your comfort during daily communication with the accountant.