Audit Exemption - good news for late filers

Updated April 2026

The Companies (Corporate Governance, Enforcement, and Regulatory Provisions) Bill 2024 has now been signed into law:

https://president.ie/en/media-library/news-releases/president-higgins-signs-the-companies-corporate-governance-enforcement-and-regulatory-provisions-bill-2024

The legislation covers a range of areas including corporate governance, enforcement, company administration and corporate insolvency. While the legislation has not yet been published the text of the Bill as passed through the stages of Oireachtas is available here: https://www.oireachtas.ie/en/bills/bill/2024/62/?tab=bill-text

The legislation provides for increased powers for the regulatory bodies and entities (CEA, CRO, IAASA). The legislation will also be welcomed by the SME sector:

• Virtual meetings are now put on a statutory footing where previously were temporary measures since the pandemic.

  
  

• The legislation also contains an important provision in terms of CRO filing and compliance, and the respective audit requirements:

Audit Exemption

The 2014 Act provided that a company will lose its exemption if it fails to file a annual return on time. The recent legislation (with the Section 22 provision replacing Section 363) now provides that a small or micro company will lose its audit exemption only if it fails to deliver its annual return for a second or subsequent time within a period of five consecutive years.

The commencement of the legislation was effected by Ministerial order via a Statutory Instrument on 15 July 2025.

For further information regarding company law and statutory audit requirements, please contact the Advisory Team at Company Auditor 4U Ltd for professional advice.