When uncertainties caused by COVID-19 have a significant effect on the valuation of the company’s assets and liabilities and the company’s ability to continue as a going concern, providing transparent disclosures about the impact of COVID-19 in the 2020 year-end financial statements is of paramount importance. The focus for companies therefore will be on adequately and fairly disclosing the impact of COVID-19 on the financial statements specifically relating to the valuation of the company’s assets and liabilities and the company’s ability to continue as a going concern in accordance with the applicable financial reporting framework. Please refer to our KPMG COVID-19 Dutch GAAP and International financial reporting websites for example disclosures and further guidance in this respect.
In this factsheet we in particular focus on the effects of COVID-19 on the auditor’s report.
We trust that this publication will be useful in understanding the various options auditors have to communicate about COVID-19 in the auditor’s report and the approach we have chosen as KPMG. If you have any questions regarding this factsheet, please do not hesitate to contact Mark Vaessen.