COM(2009)83 - Amendment of Council Directive 78/660/EEC on the annual accounts of certain types of companies as regards micro-entities

This Directive⁶³ is drafted by the Directorate-General Financial Stability, financial services and capital markets union (FISMA)⁶⁴ of the European Commission and submitted to the Council of the European Union on February 26, 2009 and for codecision⁶⁵ to the European Parliament.

official title

 

Legal instrument	Directive
Decision making procedure	ordinary legislative procedure (COD)
reference by COM-number66	COM(2009)83
Additional COM-numbers	SEC(2009)206; SEC(2009)207; COM(2009)665; COM(2011)589; COM(2012)1
procedure number68	2009/0035(COD)
CELEX number69	52009PC0083

This page is also available in a full version containing the latest state of affairs, the summary of the European Parliament Legislative Observatory, the legal basis, the legal context, other dossiers related to the dossier at hand, the stakeholders involved (e.g. European Commission directorates-general, European Parliament committees, Council configurations and even individual EU Commissioners and Members of the European Parliament) and finally documents of the European Parliament, the Council of Ministers and the European Commission.

• 1. 

  OJ L 222, 14.8.1978, p. 11.
  
   
• 2. 

  Presidency Conclusions of the Brussels European Council - doc. 7224/07, point 24.
  
   
• 3. 

  Presidency Conclusions of the Brussels European Council
   
• 4. 

  Communication from the Commission to the European Council, A European Economic Recovery Plan - COM(2008) 800, 26.11.2008, point 4, Available on the Commission website: ec.europa.eu/commission_barroso/president/pdf
  
   
• 5. 

  Report on International Financial Reporting Standards (IFRS) and the Governance of the International Accounting Standards Board (IASB) (2006/2248(INI)), EP, Committee on Economic and Monetary Affairs, Rapporteur: Alexander Radwan, A6-0032/2008, 5.2.2008, p. 10.
  
   
• 6. 

  European Parliament's resolution of 18 December 2008 on accounting requirements as regards small and medium-sized companies, particularly micro-entities, P6_TA(2008)0635.
  
   
• 7. 

  Regulation (EC) No 1606/2002 of the European Parliament and of the Council of 19 July 2002 on the application of international accounting standards (OJ L 243, 11.9.2002, p. 1).
  
   
• 8. 

  A separate directive lays down the requirements for the audit of the annual accounts (Directive 2006/43/EC on statutory audits of annual accounts and consolidated accounts - OJ L 157, 9.6.2006, p. 87).
  
   
• 9. 

  OJ L 124, 20.5.2003, p. 36.
  
   
• 10. 

  This new entity group originates in the Commission Communication of July 2007 (Communication from the Commission on a simplified business environment for companies in the areas of company law, accounting and auditing - COM(2007) 394, 10.7.2007. Available on the Commission website: ec.europa.eu/internal_market/company)
  
   
• 11. 

  The 7th Company Law Directive does not need to be amended, as already the present text of this Directive gives the Member States an option to exclude from the obligation to draw up consolidated financial statements companies to be consolidated which together do not exceed the limits of medium-sized company as defined in the 4th Company Law Directive (Art. 6(1) of the 7th Company Law Directive).
  
   
• 12. 

  Including the study conducted by Ramboll Management, commissioned by the Commission: Study on Administrative Costs of the EU Company Law Acquis, July 2007, available on the Commission website: ec.europa.eu/internal_market/company/docs
  
   
• 13. 

  Communication from the Commission on a simplified business environment for companies in the areas of company law, accounting and auditing - COM(2007) 394, 10.7.2007. Available on the Commission website: ec.europa.eu/internal_market/company
  
   
• 14. 

  For details on the High Level Group of Independent Stakeholders see the Commission website: ec.europa.eu/enterprise/regulation
  
   
• 15. 

  High Level Group Report: ec.europa.eu/enterprise/admin-burdens-reduction
  
   
• 16. 

  The Impact Assessment describes several policy options which the Commission Services reflected upon: Option 0 consists in making no changes to the 4th Company Law Directive, Option 1 in encouraging Member States to a full use of the currently in the 4th Company Law Directive existing options, Option 2 foresees an obligatory exemption of micro-entities from the scope of the 4th Company Law Directive, Option 3 establishes a Member State option to exempt micro entities from the scope of the 4th Company Law Directive, Option 4 would constitute a simplified mandatory accounting regime for micro-entities and Option 5 provides for amendments to the 4th Company Law Directive without introducing the new category of micro-entities. Following the comparison of all the above-mentioned options, the Impact Assessment comes to the conclusion that establishing an option for Member States to exempt micro-entities from the scope of the 4th Company Law Directive (Option 3 above) provides the biggest burden reduction and can be also implemented within the shortest timeframe and is therefore the most appropriate alternative in order to significantly reduce the administrative burden of the small businesses and align the reporting requirements with the needs of the users and preparers.
  
   
• 17. 

  OJ L 222, 14.8.1978, p. 11.
  
   
• 18. 

  OJ C 325, 24.12.2002, p. 35.
  
   
• 19. 

  Member States can put in place more extensive requirements nationally. The Directives already contain numerous options for SMEs, but many of those have not been taken up by Member States.
  
   
• 20. 

  COM(2005) 97, 16.3.2005.
  
   
• 21. 

  COM(2005) 535, 25.10.2005.
  
   
• 22. 

  COM(2009) 17, 28.1.2009.
  
   
• 23. 

  and is also referenced in the Commission Agenda Planning as 2009/MARKT/051.
  
   
• 24. 

  balance sheet total 500 000 EUR, net turnover 1 000 000 and/or average number of employees during the financial year of 10 persons.
  
   
• 25. 

  OJ L 222, 14.8.1978, p. 11.
  
   
• 26. 

  OJ C
   
• 27. 

  OJ C
   
• 28. 

  COM(2007) 394.
  
   
• 29. 

  OJ L 222, 14.8.1978, p. 11.
  
   
• 30. 

  OJ L 124, 20.5.2003, p. 36.
  
   
• 31. 

  OJ C
   
• 32. 

  OJ L 222, 14.8.1978, p. 11.
  
   
• 33. 

  Presidency Conclusions of the Brussels European Council - doc. 7224/07, point 24.
  
   
• 34. 

  Presidency Conclusions of the Brussels European Council
   
• 35. 

  Communication from the Commission to the European Council, A European Economic Recovery Plan - COM(2008) 800, 26.11.2008, point 4, Available on the Commission website: ec.europa.eu/commission_barroso/president/pdf
  
   
• 36. 

  Report on International Financial Reporting Standards (IFRS) and the Governance of the International Accounting Standards Board (IASB) (2006/2248(INI)), EP, Committee on Economic and Monetary Affairs, Rapporteur: Alexander Radwan, A6-0032/2008, 5.2.2008, p. 10.
  
   
• 37. 

  European Parliament's resolution of 18 December 2008 on accounting requirements as regards small and medium-sized companies, particularly micro-entities, P6_TA(2008)0635.
  
   
• 38. 

  Regulation (EC) No 1606/2002 of the European Parliament and of the Council of 19 July 2002 on the application of international accounting standards (OJ L 243, 11.9.2002, p.
  
  1).
  
   
• 39. 

  A separate directive lays down the requirements for the audit of the annual accounts (Directive 2006/43/EC on statutory audits of annual accounts and consolidated accounts - OJ L 157, 9.6.2006, p. 87).
  
   
• 40. 

  OJ L 124, 20.5.2003, p. 36.
  
   
• 41. 

  This new entity group originates in the Commission Communication of July 2007 (Communication from the Commission on a simplified business environment for companies in the areas of company law, accounting and auditing - COM(2007) 394, 10.7.2007. Available on the Commission website: ec.europa.eu/internal_market/company)
  
   
• 42. 

  The 7th Company Law Directive does not need to be amended, as already the present text of this Directive gives the Member States an option to exclude from the obligation to draw up consolidated financial statements companies to be consolidated which together do not exceed the limits of medium-sized company as defined in the 4th Company Law Directive (Art. 6(1) of the 7th Company Law Directive).
  
   
• 43. 

  Including the study conducted by Ramboll Management, commissioned by the Commission: Study on Administrative Costs of the EU Company Law Acquis, July 2007, available on the Commission website: ec.europa.eu/internal_market/company/docs
  
   
• 44. 

  Communication from the Commission on a simplified business environment for companies in the areas of company law, accounting and auditing - COM(2007) 394, 10.7.2007. Available on the Commission website: ec.europa.eu/internal_market/company
  
   
• 45. 

  For details on the High Level Group of Independent Stakeholders see the Commission website: ec.europa.eu/enterprise/regulation
  
   
• 46. 

  High Level Group Report: ec.europa.eu/enterprise/admin-burdens-reduction
  
   
• 47. 

  The Impact Assessment describes several policy options which the Commission Services reflected upon: Option 0 consists in making no changes to the 4th Company Law Directive, Option 1 in encouraging Member States to a full use of the currently in the 4th Company Law Directive existing options, Option 2 foresees an obligatory exemption of micro-entities from the scope of the 4th Company Law Directive, Option 3 establishes a Member State option to exempt micro entities from the scope of the 4th Company Law Directive, Option 4 would constitute a simplified mandatory accounting regime for micro-entities and Option 5 provides for amendments to the 4th Company Law Directive without introducing the new category of micro-entities. Following the comparison of all the above-mentioned options, the Impact Assessment comes to the conclusion that establishing an option for Member States to exempt micro-entities from the scope of the 4th Company Law Directive (Option 3 above) provides the biggest burden reduction and can be also implemented within the shortest timeframe and is therefore the most appropriate alternative in order to significantly reduce the administrative burden of the small businesses and align the reporting requirements with the needs of the users and preparers.
  
   
• 48. 

  OJ L 222, 14.8.1978, p. 11.
  
   
• 49. 

  OJ C 325, 24.12.2002, p. 35.
  
   
• 50. 

  Member States can put in place more extensive requirements nationally. The Directives already contain numerous options for SMEs, but many of those have not been taken up by Member States.
  
   
• 51. 

  COM(2005) 97, 16.3.2005.
  
   
• 52. 

  COM(2005) 535, 25.10.2005.
  
   
• 53. 

  COM(2009) 17, 28.1.2009.
  
   
• 54. 

  and is also referenced in the Commission Agenda Planning as 2009/MARKT/051.
  
   
• 55. 

  balance sheet total 500 000 EUR, net turnover 1 000 000 and/or average number of employees during the financial year of 10 persons.
  
   
• 56. 

  OJ L 222, 14.8.1978, p. 11.
  
   
• 57. 

  OJ C
   
• 58. 

  OJ C
   
• 59. 

  COM(2007) 394.
  
   
• 60. 

  OJ L 222, 14.8.1978, p. 11.
  
   
• 61. 

  OJ L 124, 20.5.2003, p. 36.
  
   
• 62. 

  OJ C
   
• 63. 

  This legally binding act of the European Union establishes a set of objectives which all member states of the European Union must fulfil. The member states are required to implement directives. The member states are free to choose the manner they see fit to fulfil the required objectives.
   
• 64. 

  The main task of this Directorate-General is to coordinate the policies of the European Commission regarding stability on the financial markets. The Directorate-General has to ensure that the European Commission remains having an active role in the supervision of the financial markets. The banking sector is an important aspect in this.
   
• 65. 

  This procedure is the standard decision-making procedure used in the European Union, unless the treaties specifically state one of the special legislative procedures is to be applied to a particular subject. Before the Treaty of Lisbon came into force late 2009 it was referred to as the co-decision procedure. The essential characteristic of this procedure is that both the Council of Ministers as well as the European Parliament have a deciding vote in the legislative process, and both institutions may amend a proposal.
   
• 66. 

  De Europese Commissie kent nummers toe aan officiële documenten van de Europese Unie. De Commissie maakt onderscheid in een aantal typen documenten door middel van het toekennen van verschillende nummerseries. Het onderscheid is gebaseerd op het soort document en/of de instelling van de Unie van wie het document afkomstig is.
   
• 67. 

  De Raad van de Europese Unie kent aan wetgevingsdossiers een uniek toe. Dit nummer bestaat uit een vijfcijferig volgnummer gevolgd door een schuine streep met de laatste twee cijfers van het jaartal, bijvoorbeeld 12345/00 - een document met nummer 12345 uit het jaar 2000.
   
• 68. 

  Het interinstitutionele nummer is een nummerreeks die binnen de Europese Unie toegekend wordt aan voorstellen voor regelgeving van de Europese Commissie.
  Binnen de Europese Unie worden nog een aantal andere nummerseries gebruikt. Iedere instelling heeft één of meerdere sets documenten met ieder een eigen nummering. Die reeksen komen niet overeen met elkaar of het interinstitutioneel nummer.
   
• 69. 

  Deze databank van de Europese Unie biedt de mogelijkheid de actuele werkzaamheden (workflow) van de Europese instellingen (Europees Parlement, Raad, ESC, Comité van de Regio's, Europese Centrale Bank, Hof van Justitie enz.) te volgen. EURlex volgt alle voorstellen (zoals wetgevende en begrotingsdossiers) en mededelingen van de Commissie, vanaf het moment dat ze aan de Raad of het Europees Parlement worden voorgelegd.
   
• 70. 

  Als dag van bekendmaking van een Europees besluit geldt de dag waarop het besluit in het Publicatieblad wordt bekendgemaakt, en daardoor in alle officiële talen van de Europese Unie bij het Publicatiebureau beschikbaar is.