The threshold for CFS audits in Horizon Europe is of 430.000€. This threshold is n EU contribution to provide a Certificate on the Financial Statement (CFS)
The threshold for CFS audits is stated in the draft General Model Grant Agreement (GMGA) for Horizon Europe, in the Data Sheet section 4.3 Certificates on page 16. The standard threshold at beneficiary-level for a certificate on the financial statement (CFS) is requested when the EU contribution is higher than 430.000€.
In addition, article 24 of the GMGA states that a beneficiary has to provide a CFS if required in the Data Sheet section 4.3. CFS have to be submitted jointly with the periodic report and performed by an approved external independent auditor.
AMGA Article 24.2 – Certificate on the financial statements (CFS)
If required by the granting authority (see Data Sheet, Point 4.3), the beneficiaries must provide certificates on their financial statements (CFS), in accordance with the schedule, threshold and conditions set out in the Data Sheet. The coordinator must submit them as part of the periodic report (see Article 21). The certificates must be drawn up using the template published on the Portal, cover the costs declared on the basis of actual costs and costs according to usual cost accounting practices (if any), and fulfill the following conditions:
- (a) be provided by a qualified approved external auditor which is independent and complies with Directive 2006/43/EC (or for public bodies: by a competent independent public officer)
- (b) the verification must be carried out according to the highest professional standards to ensure that the financial statements comply with the provisions under the Agreement and that the costs declared are eligible.
The certificates will not affect the granting authority’s right to carry out its own checks, reviews or audits, nor preclude the European Court of Auditors (ECA), the European Public Prosecutor’s Office (EPPO) or the European Anti-Fraud Office (OLAF) from using their prerogatives for audits and investigations under the Agreement (see Article 25). If the costs (or a part of them) were already audited by the granting authority, these costs do not need to be covered by the certificate and will not be counted for calculating the threshold (if any).