Royalty Audit

DTK's professional CPA associates are available to provide you with a bookkeeping audit service to identify the underpayment by applied products, calculation processes, sales records, etc.

Royalty Audit DTK's professional CPA associates are available to provide you with a bookkeeping audit service to identify the underpayment by applied ...

Step 1: Initial Planning

  • Review of the royalty reports submitted, payment histories and any other pertinent information
  • Review the royalty statements in detail
  • Research the Licensee
  • Subsidiary of international or local company - Know the local government contacts
  • Have auditor that knows language
  • Have local licensing liaison representative
  • Transmit document request list to licensee
  • Establish relationship with local trade promotion agency

Step 2: Fieldwork

  • Approximately 5 days of on-site fieldwork: Uncomplicated technology
  • Determine the correct accounting records to audit
  • Review and perform detail testing of the books and records to determine the accuracy of the royalty reports submitted
  • Verbally report findings after three to four days of fieldwo

Step 3: Compilation

  • Compile Audit Findings
  • Issue Draft Report

Step 4: Report Issuance & Settlement Negotiations

  • Issue a formal report reflecting the amount of additional royalties due and payable in compliance with reporting procedures as stated in the applicable provisions of the agreements
  • Assist in the negotiation of a settlement
  • Arbitrate with Licensee at (1)China International Economic Trade Arbitration (CIETAC), or (2)Korea Commercial Arbitration Board (KCAB), complying with (1)International Chamber of Commerce (ICC) and (2)New York Arbitration Convention

Contact Person

Contact below for any assistance or questions

Ms. Su Wan Cho
+82-2-3278-2706
suwancho93@dtk3.com

Technology Requests or Offers?