Legal Corner: Conditions for practising auditor’s profession Thursday, 21 July 2011 01:24

By Abdelaal A Khalil

There is no doubt that the employment market in Qatar is rich and diverse and it attracts a lot of professionals from all around the world because of the high salaries, and among these professions is the profession of auditor. Every profession here is characterized by a legal system that regulates the methods to practice it, and the law of the profession is a legal umbrella for professions like doctors, engineers, and lawyers. 

In this regard, we review the system of the profession of Auditor which is regulated by law No (30/2004) relating to organizing the profession of Auditor.

The law indicates that the profession of accountancy which is practiced by chartered accountant should be under a license issued by the Admission Committee of Chartered Accountants, where the names of Chartered Accountants are registered with the condition that he should be a Qatari national and must have a university degree in accounting from a university or recognized institute, and he should be of good character and reputation, and has never been convicted of a criminal offence or sentenced for an offence against honour or trust, unless he has been rehabilitated, and he should have a continuous work experience after obtaining the qualification for a period not less than three years for holders of bachelor’s degree, and two years for holders of master’s degree, and one year for holders of doctorates.

And last, he should be a full-time accountancy professional, however the chartered accountant can do the works that does not conflict with the rules and ethics of profession.

As the natural persons from non-Qataris may be registered in the Register of Employed Chartered Accountants, when they meet the above conditions as well as a legal permit in the state for the duration of registration of his name and will be a partner of a Chartered Accountant of Qataris registered in the register of employed chartered accountants or works for him and should have obtained a fellowship from any of institutes or associations or bodies of accountants or hold a membership for a period of not less than five years.

The law of regulating the profession of Auditor No (30/2004) indicates that it is permissible for Qataris who are not chartered accountants to establish the companies of solidarity  to practice the profession in the State in partnership with Qatari or non Qatari chartered accountants, and the company will be registered in the Register of Employed Chartered Accountants, the responsible manager for the company must be from those who got in the Register of employed Chartered Accountants. If a partner of the company is a legal founder person outside the State, he must be holder of a licence to practise the profession in the State where he has been registered, and it is not permissible for a partner to practice but as a partner in the company with its name and account,  as he must not be a partner in more than one company, license holder companies for the practice of profession cannot seek support in its works from other than the person who was registered in employed Chartered Accountants.

The law stated on licensing of international auditor firms to practice the profession in the State under the following conditions:

1. The office should be a branch to head office abroad and should be licensed to practice the profession in the country which issued the license, and at least ten years should have passed since the issuance of this licence, during which the main office has practiced work in the profession without any interruption.

2 The responsible for the management of office or authorized signatory should enjoy with full civil capacity, and he should obtain a degree from a university or recognized institute in the field of accounting, and his work experience should not be less than ten years, if the director in charge is Qatari he will be excepted from the condition of experience.

Knowing that it is not permissible for any natural or legal person, to practice the profession of Auditor unless he registered in the working Chartered Accountants with the Ministry of Economy and Trade, and the Chartered Accountant will be transferred to the Register of non-working Chartered Accountants who has stopped practicing the profession for any reason, as it is permissible for an accountant recorded in the Register of non-working Chartered Accountants to ask for the transfer of his name to the employed Register of Chartered Accountants if he wishes to return to practice the profession or the reason to stop the practice of profession has removed .

 Applications to get entry in the records of Chartered Accountants should be submitted to the Department of Commerce, Ministry of Economy and Trade in the form prepared for this purpose along with the supporting documents,  the Committee shall notify the applicant about the decision of acceptance or rejection, the notification must include the reasons for rejection, and those who refuse may appeal against the decision of the Commission to the Minister of Economy and Commerce and the decision of the Minister to decide on the appeal shall be final.

In case of acceptance of application for registration the applicant in this case whether an individual or a company would be provided a license approved by Department of commercial affairs at the Ministry of Economy and Trade, including name, address, nationality, number and date of registration in the Register and the duration of the license and the type of registration.

Then the chartered accountant which name has decided to be accepted in the register of employed chartered accountants will swear before starting his work in front of the Minister of Economy and Commerce or his designee, as the following: I swear by Almighty Allah that I will perform my works with honour and honesty and will preserve the secret of the profession and respect its ethics and traditions.

And for the renewal of registration in the records of Chartered Accountants, it should be applied within three months before the expiry date of registration with the payment of renewal fees, the non-working Chartered Accountants will be accepted from the renewal of application.

TO BE CONTINUED.

the peninsula