Consolidating company limited guarantee
Firstly, companies look to company law and other regulations to determine whether the adoption of IFRS is required.
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This will be exacerbated when the new IFRSs on lease accounting and revenue recognition come into effect, since there is likely to be a time delay before these changes are introduced into FRS 102. This has the same definition as a qualifying entity within FRS 102 except FRS 101 is not available to charities.
Until then, the FRSSE has been amended to be applicable to micro-entities. Disclosure exemptions are available from both FRS 102 and from IFRS for parent company and subsidiary individual accounts, provided that certain qualifying conditions are met.
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