RESTRICTED
WORLD TRADE S/WPPS/W/7/Add.9
18July1996
ORGANIZATION
(96-2872)
Working Party onProfessional Services Original: English
COMMUNICATION FROM SLOVENIA
Response tothequestionnaire ontheaccountancy sector
Thefollowing communication iscirculated attherequest ofSlovenia.
________
I. GENERAL
1. What aretheprofessional titlesofaccountants inyourcountry? Arethese professional titles
protected? Please specify how.
Theaccounting profession isnotregulated inSlovenia andtherefore noprofessional titlesof
accountants existinSlovenia, onlytitles ofauditors exist, i.e.auditor, certified auditor.
Thetitles areprotected bylawofauditing. Only persons holding acertificate issued bythe
Institute ofAuditors canusethetitle.
2. Howistheaccountancy sector regulated inyourcountry: bylaw,professional self-regulation,
acombination ofboth?
Theaccountancy sector isregulated byCompanies ActandSlovenia accounting standards.
3. Arethere anyprovisions toprotect company names, whether national orforeign, inyour
country?
Provisions protecting company names: bylawonlyoncethecompany name canbeusedon
theterritory ofaregistration court.
4. What aretheprofessional bodies inyourcountry? Aretheyrecognised bylawasaregulatory
ordisciplinary bodyfortheaccountancy profession inyourcountry, orarethese functions
fulfilled byother institutions (please specify)?
Theprofessional body is:TheSlovenian Institute ofAuditors.
Itisrecognised bylawasaregulatory anddisciplinary body fortheauditprofession andthe
regulatory bodyfortheaccountancy profession. These functions arenotfulfilled byanyother
institutions.S/WPPS/W/7/Add.9
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5. How many members dothese professional bodies have? What istheestimated proportion
ofthose:
Membership inprofessional bodies ortheirestimated proportion:
- inpublic practice 75%
- inindustry orcommerce
- inthepublic sector 3%
- ineducation 5%
- unoccupied (retired, etc.) 11%
- other 6%
6. What isthescope ofactivities regularly practised byaccountants inyourcountry?
Thescope ofactivities regularly practised byauditors:
(a) statutory audit
(b) audit ofmergers.
(c) audit ofcontributions inkind
(d) public sector audit
(e) other audits
(f) accounting
(g) taxadvice
(h) investment advice
(i) consulting
(j) expert witness inaccounting
(k) other
7. Which ofthese activities areregulated inyourcountry?
Alltheactivities except e,f,g,h(partly), i,andkareregulated.
8. Which oftheseactivities arereserved bylawtoaccountants, shared byaccountants withother
professions (please specify), orevenforbidden toaccountants inyourcountry, e.g.byfull
prohibition orbynotallowing cumulation ofcertain activities which areconsidered
incompatible ormutually exclusive?
Activities reserved toauditors are:a,b,c,d,e
Activities shared byauditors withother professions: f,g,h,i,j,k(notdetermined)
Activities forbidden toauditors: noneS/WPPS/W/7/Add.9
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II. QUALIFICATION REQUIREMENTS
9. What arethequalification requirements forthese activities inyour country interms of
university/higher education degree, practice andprofessional exam? Specify thenumber
ofyears required foreach element, andthedifferences according totheactivities (audit,
insolvency, tax,etc.)covered bythequalification.
Qualification requirements forauditors:
- university degree
- practice: 5years forcertified auditors onthefieldofauditing
2years forauditors onthefieldofauditing
- professional exam: yes
10. Arethere anypre-conditions tomeet tostarttheprofessional education: minimum age,
particular diploma ortitle,prior education, registration withaprofessional body, payment
ofafee,other (please specify)?
Pre-conditions thataretobemettostarttheprofessional education:
- minimum age: none
- particular diploma ortitle: university degree
- prior education: none
- registration: none
- payment ofafee: yes
- other: Slovene citizenship, absence ofacriminal record
11. What arethesubjects tobecovered bytheeducation: accounting, audit, tax,general law,
economics, ethics, information technology, other (please specify)?
Thesubjects tobecovered bytheeducation:
- auditing
- accounting
- business finance
- business andtaxlaw
Subjectssuchasgenerallaw,ethics,informationtechnologyareincludedintheabovementioned
subjects.
III. TECHNICAL STANDARDS AND ETHICS
12. Inrelation towhich activities donational standards exist(audit, accounting, insolvency,
other)? Please specify theirmain policy objectives.
National standards exists inrelation to:accounting.
TheSlovenian accounting standards areapprox. to90%harmonised withtheinternational
accounting standards andtheDirectives IVandVIIoftheEuropean Community.S/WPPS/W/7/Add.9
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13. Which bodyorinstitution develops thesestandards andmonitors theirimplementation? What
aretheconsequences ofabreach ofthestandards (fortheprofessional, forclients, etc.)?
Thestandards aredeveloped andmonitored bytheSlovenian Institute ofAuditors
Theconsequences ofabreach ofthese standards fortheprofessional: according tothelaw
ofaudit, forclients according totheCompanies Act.
14. Aretheinternational standards developed byIFAC (International Education Standards and
Guidelines, International Standards onAuditing) andIASC (International Accounting
Standards) recognised orusedinyourcountry? Ifyes,please explain how. Ifno,please
explain why.
Theinternational standards developed byIFAC andIASC arerecognised inSlovenia.
TheInternational Standards onAuditing aredirectly used asSlovenian standards. The
International Education Standards andGuidelines arenotrecognised inthecountry, because
theSlovenian oneshavebeendeveloped. TheInternational Accounting Standards aredirectly
usedforthematters which arenotprecisely determined bytheSlovenian Standards.
15. Inrelation towhich activities does aparticular ethical code exist (audit, accounting,
insolvency, other)? Please specify itsmain policy objectives.
Aparticular ethical codeexists inrelation toaudit andaccounting.
16. Which body orinstitution develops thiscodeandmonitors itsimplementation? What are
theconsequences incaseofbreach oftheethical codebyaprofessional orafirm?
Thiscodeisdeveloped andmonitored bytheSlovenian Institute ofAuditors.
Theconsequences incaseofbreach oftheethical codebyaprofessional orafirm
17. Arethere restrictions onmarketing, solicitation, advertising?
Restrictions onmarketing, solicitation, advertising: no
18. Arethere restrictions onfee-setting (minimum/maximum levels imposed, indicative scale,
etc.)?
Therestrictions onfee-setting: no(only recommendations)
IV. LICENSING REQUIREMENTS AND PROCEDURES
19. Apart fromthequalification requirements, whatarethelicensing requirements forindividuals
inyourcountry?
Thelicensing requirements forauditors inSlovenia
- membership ofaprofessional body: yes
- registration withtheministry oranyother institution: no
- subscription toaprofessional indemnity insurance: allactive auditors areS/WPPS/W/7/Add.9
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included inauditing firms
which must onthebasis of
lawbeinsured
- taking ofanoath: no
- absence ofanycriminal record: yes
- police enquiry: yes
- minimum age: no
- other: none
20. Arethere anyconditions imposed tobeeligible formembership oftherelevant professional
body(ies)? Please specify.
Theconditions formembership oftherelevant professional bodies:
onlypersons holding acertificate issued bytheInstitute ofAuditors canbemembers
oftheInstitute.
21. Arethere specific licensing requirements forprofessional firms?
Licensing requirements forprofessional firms
- minimum capital: yes
- number ofpartners: yes
- membership ofaprofessional body: yes
- registration withtheministry oranyother institution: no
- professional indemnity insurance: yes
- withreference tonatural persons carrying outaccountancy
activities onbehalf ofthefirm: no
- withreference tovoting rights: yes
- withreference tomanagement/administration ofthefirm: yes
- other: no
22. Cananapplication forlicensing befiledatanytimeoftheyearorarethere specific dates
torespect? Howlongdoesittaketocomplete thewhole licensing procedure? Please specify
incaseofdifferences between individuals andfirms.
Anapplication forlicensing canbefiledatanytimeoftheyear.
Ittakes afewdaystocomplete thewhole licensing procedure.
Differences between individuals andfirms: none
23. Arethere differences interms oflicensing requirements and/or procedures, according to
theactivities covered bythelicence (audit, insolvency, etc.)? Please specify. What kind
ofdocumentation isnecessary/accepted? Aredocuments issued inother countries acceptable?
Please specify.
Thedifferences oflicensing requirements and/or procedures, according totheactivities covered
bythelicence donotexistduetothefactthatonlyauditing licences canbegranted inSlovenia.
Necessary/Accepted documentation: application form, statement fromthecompanies register,
copyofaninsurance policy, evidence ontheemployment ofacertified auditor holding alicence.S/WPPS/W/7/Add.9
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Thedocuments issued inother countries arenotvalid.
24. What happens when thelicensing conditions arenolonger respected bytheindividual or
thefirm?
When thelicensing conditions arenolonger respected:
- bytheindividual: he/she cannolonger signanauditor ’sopinion,
- thefirmbecomes nullandvoid.
V. RECOGNITION OFQUALIFICATIONS
25. Arethereanypossibilitiesfortakingaccountofqualificationsacquiredbyforeignprofessionals
inanother country? Arethere bilateral agreements withother countries inthisrespect?
There arepossibilities fortaking account ofqualifications acquired byforeign professionals
inanother country. Inthisrespect nobilateral agreements exist.
26. Arethere anyautomatic recognition ormutual recognition agreements between your
professional bodies andtheircounterparts inother countries? Ifso,please specify themain
characteristics ofsuchagreements; ifnot,please explain why.
Automatic recognition ormutual recognition agreements between Slovene professional bodies
andtheircounterparts inother countries: no.Nosuchagreements haveeverbeensigned.
27. Where possibilities oftaking account offoreign qualifications exist, isafulllocalexamination
oralocaltraining exceeding 12months required? Please specify. Isalocallicence always
necessary topractice aregulated accountancy activity? Please specify when thisisnotthe
case.
Alocalexamination orlocaltraining exceeding 12months isnotrequired. Thecandidate should
onlypassanexam intheSlovene language, inSlovenian accounting standards andinSlovenian
taxlaw.Alocallicence isalways necessary topractice aregulated accountancy activity.
28. Whataretheaccreditation/licensingrequirementsimposedonforeignprofessionalsauthorised
topractice intheirhome country? Maycertain (regulated) activities becarried outonthe
basis ofaforeign licence?
Accreditation/licensing requirements imposed onforeign professionals authorised topractice
intheirhome country:
Noregulated audit activities could becarried outonthebasis ofaforeign licence.
VI. REGULATIONS GOVERNING THE ESTABLISHMENT OFACOMMERCIAL
PRESENCE
29. Arethere anyrestrictions ontheform under which onecanestablish (partnership,
incorporation, other)? Please specify.
Restrictions ontheform under which onecanestablish apartnership/incorporation: noneS/WPPS/W/7/Add.9
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30. Arethere restrictions onforeign direct investment andownership, including restrictions
applying tonotlocally qualified individuals orfirms? Please specify.
Restrictions onforeign direct investment andownership, including restrictions applying tonot
locally qualified individuals orfirms: themanaging director should beaSlovene citizen.
ThemajorityofvotingrightsintheownershipstructureofthecompanyshouldbelongtoSlovene
partners.
31. Isthere arequirement ofaminimum number orpercentage oflocal directors, managers
orstaff(please specify)?
Arequirement ofaminimum number orpercentage oflocaldirectors, managers orstaff: 1
32. Arethererestrictionsontheabilityoflocallyestablishedfirmstodevelopinternationalrelations
(membershipofaninternationalnetwork,associationwithforeignfirms,etc.)?Pleasespecify.
Restrictions ontheability oflocally established firms todevelop international relations: none
33. Istheuseofinternational orforeign names restricted forfirms?
Theuseofinternational orforeign names isnotrestricted forfirms.
VII. REGULATIONSGOVERNINGTHEENTRYANDTEMPORARYSTAYOFNATURAL
PERSONS FOR THE PURPOSE OFSUPPLYING ACCOUNTANCY SERVICES
34. Istheentry andstayofprofessionals subject tolabour market testsoranyother restrictions?
Please specify.
Theentry andstayofprofessionals isnotsubject tolabour market testoranyother restrictions.
35. Isthere anyprocedure facilitating thetemporary entry andstayofprofessionals tosupply
accountancy services? Please explain.
Aprocedure facilitating thetemporary entry andstayofprofessionals tosupply accountancy
services: notapplicable
36. Arethere anyrestrictions onhiring oflocalprofessionals byforeign firms andprofessionals?
Please explain.
Restrictions onhiring oflocalprofessionals byforeign firms andprofessionals: no
VIII. NATIONALITY/RESIDENCY REQUIREMENTS
37. Isacondition ofnationality/citizenship imposed topractice certain activities, tostartan
education, toobtain alicence, tobecome member ofaprofessional body, etc.? Please specify.
Acondition ofnationality/citizenship isimposed topractice certain activities, tostartanS/WPPS/W/7/Add.9
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education, toobtain licence, andtobecome member ofaprofessional body. Thetitleofforeign
persons canbenotified.
38. Isacondition ofestablishment, prior residency orresidency imposed topractice certain
activities, toobtain alicence, tobecome member ofaprofessional body, etc.? Please specify
theconditions andthedefinition ofestablishment, residency, etc.when relevant. Isitpossible
tohaveaprofessional establishment inmore thanonecountry?
Acondition ofestablishment, priorresidency orresidency imposed topractice certain activities
toobtain alicence, tobecome member ofaprofessional body doesnotexist.
Aprofessional establishment inmore thanonecountry ispossible.