Presidential Decision on Determination of Companies Subject to Independent Audit Has Been Published

02.12.2022
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Through the promulgation of President Decision No. 6434 (“Decision”) published in the Official Gazette dated 30th November 2022 and No. 32029, the procedures and principles regarding the companies subject to independent audit within the scope of Article 398 of the Turkish Commercial Code No. 6102 are envisaged.

In this context, the following companies are subject to independent audit:

  1. Companies listed in the list (I) attached to the Decision, regardless of any criteria.
  2. Other companies that exceed at least any two of the below thresholds for two consecutive years.

Through the Decision, the thresholds have been amended as follows in comparison to previous thresholds.

Thresholds for companies whose capital market instruments are not traded on a stock exchange or other regulated markets nevertheless are deemed to be public within the scope of the Capital Markets Law No. 6362:

Previous Thresholds

  • Total assets of TRY 15 million
  • Annual net sales revenue of TRY 20 million
  • 50 employees

New Thresholds

  • Total assets of TRY 30 million
  • Annual net sales revenue of TRY 40 million
  • 50 employees

Thresholds for the companies stated in the list (II) attached to the Decision:

Previous Thresholds

  • Total assets of TRY 30 million
  • Annual net sales revenue of TRY 40 million
  • 125 employees

New Thresholds

  • Total assets of TRY 60 million
  • Annual net sales revenue of TRY 80 million
  • 100 employees

Thresholds for companies that are not within the scope of the lists (I) and (II) attached to the Decision:

Previous Thresholds

  • Total assets of TRY 35 million
  • Annual net sales revenue of TRY 70 million
  • 175 employees

New Thresholds

  • Total assets of TRY 75 million
  • Annual net sales revenue of TRY 150 million
  • 150 employees

Through the Decision, the following companies have been added to the companies excluded from the scope:

  • Savings finance companies whose liquidation is decided by the Banking Regulation and Supervision Board within the scope of Temporary Article 7/4 of Financial Leasing, Factoring, Financing and Savings Financing Companies Law No. 6361 and the liquidation process being carried out by the liquidation commissions appointed by the Savings Deposit Insurance Fund.

The Decision enters into force on 1st January 2023.

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