This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.
The full functionality of our site is not supported on your browser version, or you may have 'compatibility mode' selected. Please turn off compatibility mode, upgrade your browser to at least Internet Explorer 9, or try using another browser such as Google Chrome or Mozilla Firefox.

FRC publishes amendments to the FRSSE

  • FRC Image

29 Apr 2014

The Financial Reporting Council (FRC) has today published amendments to the Financial Reporting Standard for Smaller Entities (FRSSE) as a result of The Small Companies (Micro-Entities’ Accounts) Regulations 2013 (SI 2013/3008) (“the Regulations”).

The Regulations permit companies qualifying as micro-entities to prepare and file ‘abridged’ accounts for periods ending on or after 30 September 2013 (provided that accounts for such periods have not been filed).  This means that they can use simplified formats for the balance sheet and profit and loss account and are only required to provide notes to the financial statements concerning guarantees and other financial commitments and certain transactions with directors.  

The FRC amendments to the FRSSE enable micro-entities to state compliance with the FRSSE whilst taking advantage of the exemptions contained within the Regulations.  The amendments also avoid the potential conflict with the law under which the accounts are deemed to give a true and fair view without supplementary information. 

The amendments reflect the new primary statement format available in the Regulations and permit micro-entities to disapply all presentation and disclosure requirements of the FRSSE except those that are required by the Regulations. 

The FRC expects a more comprehensive revision to the FRSSE when the EU Accounts Directive (2013/34/EU) has been incorporated into UK law and highlights that the changes published today “represent an interim solution”.  The FRC comments that in response to the EU Accounts Directive it is reviewing the FRSSE and “expects to issue revised accounting requirements for small entities, which will be effective from the same date as the legal changes”.

The amendments are effective for periods ending on or after 30 September 2013 for companies filing their accounts on or after 1 December 2013.

Click for:

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.