Changes are proposed for three financial reporting exposure drafts
The Financial Reporting Council (FRC) has launched a consultation on three financial reporting exposure drafts (FREDs) that make amendments to UK GAAP and base them on the FRS 102 framework:
The key changes proposed in the three FREDs include:
The proposals are intended to be effective for accounting periods beginning on or after 1 January 2016, with early application permitted for accounting periods beginning on or after 1 January 2015.
Companies qualifying as small under the increased Companies Act thresholds (turnover £10.2m, balance sheet total £5.1m, employees 50) will therefore be able to apply FRS 102 for small entities from 1 January 2015 rather than apply full FRS 102.
Each FRED includes a number of consultation questions relating to specific issues on which the FRC is particularly interested in receiving comments from stakeholders.
Some of the most significant questions are:
The consultation on the three FREDs runs up to 30 April 2015; ACCA would like its members to send in their comments to the FRC and also provide their comments to ACCA at firstname.lastname@example.org
To access the consultations, visit the 'Related links' section on this page.