Annual accounts and general meeting: What GmbH and AG owners must complete by end of June

What the annual accounts must include

The statutory annual accounts of a GmbH or AG must include a balance sheet, income statement, and notes. Larger companies also require a cash flow statement and a management report. The closing entries that must be completed before the GM include: depreciation on fixed assets (straight-line or declining balance according to the chosen method), accruals (prepaid and deferred items), valuation of inventories and receivables (including a bad debt provision), correct VAT reconciliation between the accounts and the last return, and provisions for warranties, outstanding holiday, and overtime balances.

Practical mid-year checklist

Use the weeks before 30 June to check the following: has the 2025 annual report been prepared and approved by the GM? Are all documents properly archived in compliance with the ten-year retention obligation? Does your GmbH have a current auditor, where a statutory audit (even a limited audit) is required? Has the AHV annual settlement been submitted to the compensation fund? Have any profit distributions (dividends) been resolved and correctly booked — including withholding tax of 35% on dividends? Anyone who has not yet ticked off this list should act now.