How does the Sarbanes-Oxley Act affect international businesses? | Compliance Sarbanes Oxley

How does the Sarbanes-Oxley Act affect international businesses?

More specifically non-US based businesses doing business with US corporations.

I believe the short answer to your question is "not at all."

The longer answer is that the Sarbanes-Oxley Act is directed toward public accounting in the United States and publicly traded companies in the United States. The general idea behind the act is to encourage regained trust in the credibility of US financial reporting. As such, unless a foreign company is listed on a US exchange (and therefore under the jurisdiction of the SEC), this should have no impact on the firm.

If this is more than just idle curiosity, however, check with your attorney and/or CPA.

One Response

  1. David B Says:

    I believe the short answer to your question is "not at all."

    The longer answer is that the Sarbanes-Oxley Act is directed toward public accounting in the United States and publicly traded companies in the United States. The general idea behind the act is to encourage regained trust in the credibility of US financial reporting. As such, unless a foreign company is listed on a US exchange (and therefore under the jurisdiction of the SEC), this should have no impact on the firm.

    If this is more than just idle curiosity, however, check with your attorney and/or CPA.
    References :

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