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The Companies, Partnerships and Groups (Accounts and Reports) Regulations 2015 introduced the concept of abridged accounts. Abridged accounts contain a balance sheet that has a sub-set of the information that is included in a full balance sheet. Similiarly the profit and loss account may also contain a sub-set of the information that is included in a full profit and loss account.

 Abridged accounts will be identified by a statement containing wording to the effect of the “members have consented to the abridgement” and small companies now has the following options when preparing their accounts.

For accounting periods that start on or after 1 January 2016:

  • They may prepare micro-entity accounts (if they’re within the threshold);
  • They may prepare abridged accounts or:
  • They may prepare a full accounts.

In all cases a small company can choose whether or not to file their director’s report and profit and loss account. Companies that don’t opt to file their director’s report and profit and loss are said to be filing “filleted” accounts but in every case the company must file at least the balance sheet & any related notes.

 

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