Legislation to transpose the provisions of EU Directive
2013/34/EU (the "2013 Directive") into
Irish law is expected to be introduced in the coming months. The
2013 Directive replaces and amends previous EU company law
directives dealing with the requirements for companies to prepare
annual audited financial statements, consolidated financial
statements and related matters. The 2013 Directive will also have
implications for the requirements for Irish unlimited companies to
publicly file their audited financial statements at the Companies
Registration Office ("CRO").
Although the 2013 Directive is not prescriptive as to how Member
States can achieve it, the Irish implementing legislation will need
to ensure that Irish unlimited liability companies within group
structures in which the ultimate shareholders have the benefit of
limited liability are required to make public their audited
financial statements. Unlimited liability companies which currently
fall outside the filing requirements are therefore likely, as
ageneral rule, to be required to file a copy of their audited
financial statements with their annual return filing at the CRO for
future financial periods.
The 2013 Directive will also introduce revised provisions relating
to the preparation of financial statements by Irish companies as
well as revised thresholds for determining small, medium and large
companies and "public interest entities", with
simplifications being introduced for small companies and new
obligations for large and medium sized companies (including groups)
and "public interest entities".
The Irish implementing legalisation will amend (where required) the
Companies Act 2014 and, in line with the requirement in the 2013
Directive, is expected to have effect for financial years beginning
on or after 1 January 2016.
This is clearly an important practical issue for many clients and,
in that context, we will continue to keep clients updated as and
when there are further developments in this area.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.