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How to deal with inventory during Hong Kong company audit?

Released Date: Apr 08,2024 Article Source: HUANZE
We know that after the registration of a Hong Kong company, annual return and audit should be done regularly every year, so what if there is inventory in the audit of a Hong Kong company?

       We know that after the registration of a Hong Kong company, annual return and audit should be done regularly every year, so what if there is inventory in the audit of a Hong Kong company?

       When the Hong Kong company does the audit, if the company has inventory on the closing day of the audit, we will make different inventory plans according to the customer's situation.

       In the first case, if the customer's Hong Kong company has its own warehouse in Hong Kong and has inventory, in this case, we will make an appointment with the auditor to take inventory at the warehouse site after signing the contract. In the second case, the Hong Kong company has warehouses in other regions and has inventory on the closing day, then we will arrange our domestic colleagues to take inventory on behalf of the auditor. In the third case, the inventory is stored in a third-party warehouse. If the Hong Kong company has inventory on the closing date, the third-party warehouse such as: Cainiao logistics warehouse, bonded warehouse, Beijing East logistics warehouse, etc., in this case, the customer can communicate with the warehouse responsible company, let the warehouse responsible company accept the letter of Hong Kong auditors, issue the inventory list, but also can smoothly carry out the audit of Hong Kong company.

       The audit report of the Hong Kong company issued after the inventory of the above three cases is the audit report without qualified opinion, which is a very standard audit report. However, if the company has inventory but cannot take inventory, then the opinion of the audit report issued will be a reserved opinion on the inventory not taken inventory.

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