Companies (Accounting) Act 2017 is signed into law
Minister for Jobs, Enterprise and Innovation, Mary Mitchell O’Connor, signed the new Companies (Accounting) Act 2017 into law on 9th June 2017. The aim of the Act is reduce the administration associated with the preparation of financial statements particularly for SME’s.
There is quite a lot of technical stuff in the Act however here is a synopsis of some of the key points. For those of you who want a more in depth understanding have a look at this article from William Fry.
- New “Micro” category of company introduced.; Net Turnover of up to €700K, Balance Sheet total of up to €350K and Average of up to 10 employees. To qualify the company must meet at least two of these conditions.
- Now there are four types of company; Micro, Small, Medium and Large.
- Simplified regime for accounts preparation and increased disclosure exemptions for Micro companies.
- Filing of abridged financial statements with Companies Registration Office only available for Micro and Small companies. This means that Medium and Large companies must file a full set of financial statements with the CRO.