SOX audit
In 2002, the Sarbanes-Oxley (SOX) Act was enacted in the United States. It imposed additional restrictions on internal control over the financial reporting of companies listed on US stock exchanges and of their subsidiaries. The amendments were introduced in order to boost confidence in the capital markets.
The Sarbanes-Oxley (SOX) Act introduced:
- increase of the management board's responsibility on financial reporting and internal control
- strengthening of the role of Audit Committee and the extension of its functions
- higher penalties for the non-compliance with the Act
- mandatory annual audit on internal control effectiveness - as part of the annual financial report
SOX audit – the scope of service:
Crowe offers support in adjusting internal control systems to SOX requirements. As part of the Sarbanes-Oxley (SOX) compliance audit we provide clients with:
- Internal control system audit on financial reporting
- Identification of processes which should subject to internal control
- Drafting and updating the necessary documentation describing the control processes
- Drafting report with recommended actions aimed at strengthening the system of internal control over financial reporting
