Find Accountancy, Audit and Tax expertise in Brunei Darussalam
- Overview
- Profession
- Tax
Overview
Three of the ‘Big Four’ accounting firms have a presence within the country – Ernst & Young, Deloitte and KPMG. Native firms also play a part, with Foo Kon & Tan and Lee Corporatehouse Associates being the most notable examples. The Accounting Standards Order (ASO) was introduced in 2011 to determine the standards of the profession within Brunei, ensuring consistency in the preparation and auditing of financial statements. This innovation was welcomed by local accountants, who saw it as a step towards professionalising the setting of accounting standards in accordance with international standardisation. In the World Economic Forum’s Global Competitiveness Report (2012-13) Brunei placed 58th in the world (out of 144 countries) for the strength of its auditing and reporting standards, with a value of 4.8 out of 7, above the world mean of 4.6. For resolving insolvency it ranked 44th in the world (out of 183 countries) in the 2011 World Bank’s Ease of Doing Business Index, three places above Malaysia.
Profession
The Brunei Darussalam Institute of Certified Public Accountants (BICPA) is the main accountancy body in the country, and is not-for-profit and voluntary in nature. Accountants possess internationally recognised qualifications, largely ACCA, CFA or CIMA. One of the branches of FTMS Global is established in Brunei, offering professional accounting and finance courses, as preparatory routes to the international professional qualifications. Entry onto the courses is available to suitably qualified school leavers or graduates.
Tax
In Brunei there is no income tax on individuals, nor any capital gains tax, export, sales or payroll tax. The corporate tax stood at 22% (as of 2011), although this jumped to 55% for oil and gas companies. Additionally there are no sales tax, value added tax (VAT) or general sales tax (GST). The low levels of taxation in Brunei were reflected in its placing in the Global Competitiveness Report’s (2012-13) index of total tax rate, placing it 12th in the world with a value of 16.8%, compared to neighbouring Malaysia in 50th position with a value of 34.0%. Similarly, in the 2011 Ease of Doing Business Index it ranked 20th in the world for paying taxes, compared to Malaysia in 42nd place.
| Accountancy, Audit and Tax organisations in Brunei Darussalam | |
|---|---|
| The Brunei Darussalam Institute of Certified Public Accountants |
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