South Korean companies must submit auditor designation data by September 15

Approximately 2,700 companies, including listed companies with December fiscal year-ends and large unlisted companies where ownership and management are not separated, must submit basic data for auditor designation by September 15. Additionally, 39 accounting firms designated as auditors for listed companies must submit their data by September 14.

The Financial Supervisory Service (FSS) has announced online briefing sessions to assist with the submission process. The data is used to determine which companies are subject to mandatory auditor designation and which accounting firms are eligible to audit them. This system, which includes periodic designation, aims to enhance the independence of external audits by reducing long-term ties between companies and auditors.

Companies must report their auditor appointment history for the past six years, whether ownership and management are separated, and the need for industry expertise. Accounting firms are required to provide details regarding their number of certified public accountants, quality control personnel, and liability insurance capacity. Failure to submit the required information on time may result in the FSS designating an auditor for the company, potentially limiting the company's ability to freely select its own auditor.