Accountancy competition shake-up looms under Foss reforms
An outmoded prohibition on accounting firms incorporating as limited liability companies will also be scrapped.
New Zealand accountants and auditors will be able to offer services more widely, incorporate as companies and amalgamate with their Australian colleagues under a single professional body under a review of the profession.
Commerce Minister Craig Foss announced three changes, saying they "encourage efficiency, competition and give the New Zealand accounting market a more international outlook".
Under the Accounting Infrastructure Reform Bill, to be introduced to Parliament later this year, the New Zealand Institute of Chartered Accountants will be permitted to amalgamate with its equivalent Australian body to create a transTasman institute.
Members would need to vote in favour of the change.
Current restrictions on non-issuer audit work will also be relaxed to "better allow competent auditors with the appropriate qualifications to offer audit services to New Zealand firms."
An outmoded prohibition on accounting firms incorporating as limited liability companies will also be scrapped.
The current ban was "out of step with international practice", Mr Foss says. "It will also allow overseas limited liability partnerships to perform some statutory audits in New Zealand."
(BusinessDesk)
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Accountancy competition shake-up looms under Foss reforms
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