Balikpapan

๐Ÿ“Š

Accounting and Auditing

Sections

Accounting and Auditing Services in Balikpapan, Indonesia

Types of Services Available

  1. Accounting Services:

    • Bookkeeping
    • Financial statement preparation
    • Tax preparation and planning
    • Payroll processing
    • Management accounting
    • Financial consulting

  2. Auditing Services:

    • Statutory audits
    • Internal audits
    • Compliance audits
    • Forensic audits
    • Operational audits

  3. Tax Services:

    • Tax compliance and reporting
    • Tax advisory services
    • Transfer pricing documentation

  4. Business Advisory:

    • Business setup and registration
    • Financial forecasting and budgeting
    • Risk management consulting

Typical Costs

  • Accounting Services:

    • Monthly bookkeeping: IDR 1,500,000 - IDR 5,000,000 depending on the complexity and volume of transactions.
    • Financial statement preparation: IDR 2,000,000 - IDR 10,000,000 per report.

  • Auditing Services:

    • Statutory audit: IDR 10,000,000 - IDR 50,000,000 based on company size and complexity.
    • Internal audit: IDR 5,000,000 - IDR 20,000,000 per engagement.

  • Tax Services:

    • Tax return preparation: IDR 1,000,000 - IDR 5,000,000 depending on the type of business.

Procedures for Engaging Services

  1. Research and Selection:

    • Identify firms through online searches, local directories, or referrals.
    • Check credentials, experience, and client reviews.

  2. Initial Consultation:

    • Schedule a meeting to discuss your needs and assess the firmโ€™s capabilities.
    • Understand their fee structure and service offerings.

  3. Engagement Letter:

    • Sign an engagement letter outlining the scope of services, fees, and terms.

  4. Document Submission:

    • Provide necessary financial documents and information as requested by the service provider.

  5. Service Delivery:

    • Collaborate with the service provider throughout the process, ensuring timely communication.

  6. Review and Feedback:

    • Review the delivered services and provide feedback for future engagements.

Local Regulations and Requirements

  • Business Registration: All businesses must be registered with the Ministry of Law and Human Rights and obtain a Tax Identification Number (NPWP).
  • Accounting Standards: Follow Indonesian Financial Accounting Standards (PSAK) for financial reporting.
  • Tax Compliance: Adhere to local tax regulations, including VAT and corporate income tax obligations.
  • Auditor Licensing: Auditors must be registered with the Indonesian Institute of Certified Public Accountants (IAPI).

Cultural and Practical Considerations

  • Language: Most accounting firms operate in Bahasa Indonesia; English-speaking services may be limited.
  • Business Etiquette: Building relationships is crucial. Engage in polite conversation and show respect for local customs.
  • Local Knowledge: Choose firms familiar with the local business environment, especially in sectors like mining and oil, which are prominent in Balikpapan.
  • Networking: Attend local business events or join chambers of commerce to connect with service providers and gain insights.

Conclusion

Engaging accounting and auditing services in Balikpapan requires understanding local practices, regulations, and costs. Building relationships and ensuring clear communication will facilitate a smoother process.