Nicole Kissun
Partner
How we can help with UK GAAP
We want to help you choose the right accounting framework for your business. We carry out a high level analysis for each of the framework options available covering:
- Key financial statement areas
- Key tax issues
- Terms of existing financing to identify covenants that may be breached due to different reporting measures
- Other commercial issues, for example distributable reserves issues.
We can help you prepare for conversion and support you through the implementation process for the new framework to ensure it runs smoothly.
We can then help you identify the precise implications of changes. This may include first time adoption adjustments on your financial statements and the timing and amount of any tax payments to HMRC.
Following implementation of a new framework, your BDO team will keep you up to date about any changes to GAAP, including amendments proposed as a result of FRC triennial reviews.
Should you need to transition to a new or different accounting framework, we will assist you throughout this complex and time-consuming process.
Explore how BDO’s Financial Reporting solutions team can help.
Changes to UK GAAP
We will help you understand the implications of changes in UK GAAP and arm you with the information to make the correct choices for your business.
FRS 100 sets out the financial reporting requirements for UK and Republic of Ireland entities. It also identifies whether entities must or can elect to produce their consolidated or individual financial statements in accordance with one of four frameworks. The four frameworks are:
- Discover EU-adopted IFRSs
- FRS 101 – A standard for the individual accounts of a qualifying entity which uses the recognition and measurement rules in IFRSs but includes reduced disclosures
- FRS 102 and FRS 103 - The core of UK GAAP, providing a concise and simplified accounting framework for companies including reduced disclosure frameworks for small companies and qualifying entities
- FRS 105 – A standard for micro entities
FRS 100 does not extend the mandatory application of EU-adopted IFRSs beyond the current requirement of the IAS Regulation or market rules.
All the options above, with the exception of EU-adopted IFRSs are 'Companies Act' and UK GAAP accounts.
Model FRS 102 accounts
These are illustrative FRS 102 financial statements of a large private entity (company and LLP), prepared in accordance with FRS 102, including UK Companies Act disclosure requirements as applicable. You can download an illustrative set of FRS 102 accounts below.
- Limited Company FRS 102 Illustrative Financial Statements 2023
- LLP (Limited Liability Partnership) FRS 102 Illustrative Financial Statements 2021
These illustrative FRS 102 financial statements are intended to be used as a source of general technical reference, as they show suggested disclosures together with their sources. They are not intended to address the particular circumstances of any particular entity.
Model FRS 101 accounts
These are illustrative FRS 101 financial statements of a private intermediate parent company, prepared in accordance with FRS 101, including UK Companies Act disclosure requirements as applicable.
These illustrative FRS 101 financial statements are intended to be used as a source of general technical reference, as they show suggested disclosures together with their sources. They are not intended to address the particular circumstances of any particular entity.
The illustrative accounts contain two appendices to aid you in understanding the potential differences between financial statements prepared under FRS 101 and those prepared under IFRS:
- Appendix 1 - a summary of the disclosure exemptions within FRS 101 and whether these exemptions are subject to equivalent disclosures being included within the consolidated accounts.
- Appendix 2 - a summary of the key accounting differences between FRS 101 and IFRSs.
If you want to talk to someone about your obligations under UK GAAP, get in touch with our expert team, who will be happy to help.