SAAVEDRA CPA | Puerto Rico Audit Services
Applicability in Puerto Rico
Any entity or individual doing business in Puerto Rico who exceeds the gross income threshold is subject to a financial audit. The gross income threshold to submit audited financial statements in Puerto Rico is currently $10,000,000. The threshold was revised in 2020 per Internal Revenue Circular Letter 20-39.
A taxpayer must include a copy of the audited financial statements with various tax filings when an audit is required. Tax returns must be filed timely together with the audited financial statements to avoid penalties.
Due to the sensitivity of an audit engagement and the importance of effective reporting, we recommend that you hire an experienced auditor who understands your industry and who can demonstrate the knowledge to assess risk and supervise the engagement. Consider inquiring about matters in your industry during pre-engagement discussions with your potential auditor.
Our Experience
We perform audits of financial statements in accordance with generally accepted accounting principles in the United States for regulatory tax compliance purposes in Puerto Rico. Accordingly, our audit control tests and sampling procedures follow current applicable audit standards. Our audit department regularly consults Auditing Standard Updates, technical alerts, and changes to presentation and disclosure requirements to ensure accurate and timely reporting. Written and oral communications follow the appropriate guidance.
Audit engagements follow a time schedule unless a change is warranted. Scope and timing issues are formally documented and communicated to governance or the individual charged with oversight, as applicable.
Our experts have led countless audits in multiple industries which include aviation, hospitality, distribution and retail centers, manufacturing, and service industries including technology, marketing, leasing, support services, consulting and construction, among others.
If you are interested in our audit services, please contact us to initiate the process. We will send you an audit engagement letter and a schedule detail for review. We look forward to an opportunity to work with you or your team.