As prescribed in BoA Resolution 3-2016 (as amended), all enterprises/organizations/parties which have gross receipts/revenues for 2016 and all subsequent periods that exceed P10 Million ARE REQUIRED to attach to the financial statements a copy of the Certificate of Compilation Services (see attached).
The CPAs who can sign the Certificates are either the CPAs employed by the enterprises or CPAs engaged in public practice who are hired by the enterprises for as long as these CPAs are NOT the auditors.
All CPAs providing the compilation services must be accredited with the Board of Accountancy. They can either be accredited as CPAs in Commerce and Industry (for those who are employed) or as CPAs in public practice (for those who will be contracted).
As per recent decision of the BoA, the Certificate prepared by the CPAs employed by the enterprise NEED NOT BE NOTARIZED. For the compilation done by the CPA in public practice contracted by the enterprise, the Report on the Compilation can be submitted in lieu of the Certificate.
Those who do not comply will the provisions of BoA Resolution 3-2016 will be subject to the appropriate sanction/s from the BoA.
The accreditation .of CPAs in Commerce and Industry are employer specific This means that the CPA is authorized only to sign as compiler for the enterprise for which they are accredited as employees/compilers. If the CPA is subsequently separated, dismissed or resigns from the enterprise employer, this should be communicated to the PRC within thirty days from such. The CPA who will be subsequently hired by the enterprise should file for and have a separate accreditation,
However, if a CPA employed by an enterprise is also required to compile for the related companies of his employer/enterprise, the CPA will just have to indicate the names of these related companies on his detailed description of work that is required to be submitted as one of the requirements for accreditation application, Once indicated, the accredited CPA can compile for all these companies,
BoA Resolution 2016-68 provides that :
- For those with pending applications, the CPA can issue the FS and sign the Compilation Certificate by indicating the that “Application filed on ____Date ____and is pending at PRC