Consultation Paper No. 8 2017: Recognized Auditor fees

Summary

This is a JFSC consultation paper seeking feedback on proposed changes to fees paid by Recognized Auditors under the Companies (Jersey) Law 1991. It explains the JFSC's statutory basis for proposing fees, sets out the proposed new fee levels, and includes a draft Recognized Auditor Fees Notice for comment.

• Application fee: Proposed increase from £1,000 to £1,170 for persons applying for registration as a recognized auditor, reflecting inflation since the regime began in 2010.
• Annual fee: Proposed increase from £750 to £880, payable by each recognized auditor on 1 June each year.
• New discrete fee: A new £100 fee for adding an additional designated responsible individual to an audit firm's entry on the Register of Recognized Auditors (not applicable where the individual is notified as part of an initial application).
• Late payment and late filing fees: The draft notice would impose a 5 percent per month late payment fee on unpaid fees and a £100 per month late filing fee for documents not filed or delivered on time, unless the JFSC agrees in writing to a later date.

The JFSC invited written comments on the proposed fee levels and the new discrete fee by 29 September 2017. Subject to feedback, the JFSC intended to publish a final fees notice in the fourth quarter of 2017, with the revised fees taking effect from 1 January 2018.

Key obligations

• Interested parties wishing to respond must submit written comments to the JFSC no later than 29 September 2017.
• Under the draft notice, a person applying for registration as a recognized auditor would be required to pay an application fee of £1,170.
• Under the draft notice, a recognized auditor would be required to pay an annual fee of £880 on each 1 June.
• Under the draft notice, a recognized auditor notifying the JFSC of the designation of a new responsible individual would be required to pay a £100 fee (except where notified as part of an initial application).
• Under the draft notice, a recognized auditor who fails to pay a fee on time would be liable for an additional late payment fee of 5 percent of the unpaid amount per complete month it remains unpaid.
• Under the draft notice, a recognized auditor who fails to file or deliver a required document on time would be liable for a £100 fee per complete month or part thereof of delay, unless the JFSC has agreed in writing to a later filing date.

Applies to

recognized auditors, persons applying for registration as a recognized auditor

Deadlines

• 29 September 2017: Deadline for interested parties to submit comments on the consultation paper.
• 1 January 2018: Proposed effective date for the revised Recognized Auditor fees, per the draft Fees Notice.
• fourth quarter of 2017: Planned timing for the JFSC to publish feedback and the final fees notice following the consultation.
• each 1 June: Recurring date on which the annual fee is proposed to be payable by a recognized auditor.