(5A) Nothing in Schedule 1 to these Regulations requires the non-IAS individual accounts of an LLP for a financial year in which the LLP qualifies as a micro-entity (see sections 384A and 384B of the 2006 Act) to contain any information by way of notes to the accounts, except that the LLP is required to disclose by way of notes to the accounts the information required by paragraph 55 in Part 3 of Schedule 1.

PART5 — REVIEW

Review

9

(1) The Secretary of State must from time to time—

(a) carry out a review of the provisions of these Regulations to which amendments have been made by Part 3 of the Limited Liability Partnerships, Partnerships and Groups (Accounts and Audit) Regulations 2016 (“the 2016 Regulations”),

(b) set out the conclusions of the review in a report, and

(2) The report must, in particular—

(a) set out the objectives intended to be achieved by those provisions,

(b) assess the extent to which those objectives are achieved,

(d) if those objectives remain appropriate, assess the extent to which they could be achieved in another way which involves less onerous regulatory provision.

(3) The first report under this regulation must be published before the end of the period of 5 years beginning with the date on which the 2016 Regulations come into force.

(4) Subsequent reports under this regulation must be published at intervals not exceeding 5 years.

(5) In this regulation, “regulatory provision” has the meaning given by section 32(4) of the Small Business, Enterprise and Employment Act 2015.

1A

(1) Where appropriate to the circumstances of an LLP’s business, the members of the LLP may, with reference to one of the formats in Section B, draw up an abridged balance sheet showing only those items in that format preceded by letters and roman numerals, provided that—

(a) in the case of format 1, note (3) of the notes to the formats is complied with,

(b) in the case of format 2, notes (3) and (8) of those notes are complied with,

(2) Where appropriate to the circumstances of an LLP’s business, the members of the LLP may, with reference to one of the formats in Section B, draw up an abridged profit and loss account, combining under one item called “Gross profit or loss”—

(a) items 1, 2, 3 and 6 in the case of format 1, and

(b) items 1 to 5 in the case of format 2,

provided that, in either case, all of the members of the LLP have consented to the drawing up of the abridged profit and loss account.

(3) Such consent as is referred to in sub-paragraphs (1) and (2) may only be given as regards the preparation of, as appropriate, the balance sheet or profit and loss account in respect of the preceding financial year.

1B

(1) The members of the LLP may adapt one of the balance sheet formats in Section B so to distinguish between current and non-current items in a different way, provided that—

(a) the information given is at least equivalent to that which would have been required by the use of such format had it not been thus adapted, and

(b) the presentation of those items is in accordance with generally accepted accounting principles or practice.

(2) The members of the LLP may, otherwise than pursuant to paragraph 1A(2), adapt one of the profit and loss account formats in Section B, provided that—

(a) the information given is at least equivalent to that which would have been required by the use of such format had it not been thus adapted, and

(b) the presentation is in accordance with generally accepted accounting principles or practice.

1C

So far as is practicable, the following provisions of this Section apply to the balance sheet or profit and loss account of an LLP notwithstanding any such abridgment or adaptation pursuant to paragraph 1A or 1B.

2A

Where in accordance with paragraph 1(1A) an LLP’s balance sheet or profit and loss account for any financial year has been prepared by reference to one of the formats in Section C, the members of the LLP must use the same format in preparing non-IAS individual accounts for subsequent financial years, unless in their opinion there are special reasons for a change.

9A

Where an asset or liability relates to more than one item in the balance sheet, the relationship of such asset or liability to the relevant items must be disclosed either under those items or in the notes to the accounts.

Format 1	Format 1	Format 1	Format 1	Format 1	Format 1

A.	Fixed assets	Fixed assets	Fixed assets	Fixed assets	Fixed assets
		I.	Intangible assets	Intangible assets	Intangible assets
				1.	Goodwill (1)
				2.	Other intangible assets (2)
		II.	Tangible assets	Tangible assets	Tangible assets
				1.	Land and buildings
				2.	Plant and machinery etc.
		III.	Investments	Investments	Investments
				1.	Shares in group undertakings and participating interests
				2.	Loans to group undertakings and undertakings in which the LLP has a participating interest
				3.	Other investments other than loans
				4.	Other investments

B.	Current assets	Current assets	Current assets	Current assets	Current assets
		I.	Stocks	Stocks	Stocks
				1.	Stocks
				2.	Payments on account
		II.	Debtors (3)	Debtors (3)	Debtors (3)
				1.	Trade debtors
				2.	Amounts owed by group undertakings and undertakings in which the LLP has a participating interest
				3.	Other debtors
		III.	Investments	Investments	Investments
				1.	Shares in group undertakings
				2.	Other investments
		IV.	Cash at bank and in hand	Cash at bank and in hand	Cash at bank and in hand

C.	Prepayments and accrued income (4)	Prepayments and accrued income (4)	Prepayments and accrued income (4)	Prepayments and accrued income (4)	Prepayments and accrued income (4)

D.	Creditors: amounts falling due within one year	Creditors: amounts falling due within one year	Creditors: amounts falling due within one year	Creditors: amounts falling due within one year	Creditors: amounts falling due within one year
				1.	Bank loans and overdrafts
				2.	Trade creditors
				3.	Amounts owed to group undertakings and undertakings in which the LLP has a participating interest
				4.	Other creditors (5)

E.	Net current assets (liabilities) (6)	Net current assets (liabilities) (6)	Net current assets (liabilities) (6)	Net current assets (liabilities) (6)	Net current assets (liabilities) (6)

F.	Total assets less current liabilities	Total assets less current liabilities	Total assets less current liabilities	Total assets less current liabilities	Total assets less current liabilities

G.	Creditors: amounts falling due after more than one year	Creditors: amounts falling due after more than one year	Creditors: amounts falling due after more than one year	Creditors: amounts falling due after more than one year	Creditors: amounts falling due after more than one year
				1.	Bank loans and overdrafts
				2.	Trade creditors
				3.	Amounts owed to group undertakings and undertakings in which the LLP has a participating interest
				4.	Other creditors (5)

H.	Provisions for liabilities	Provisions for liabilities	Provisions for liabilities	Provisions for liabilities	Provisions for liabilities

I.	Accruals and deferred income (5)	Accruals and deferred income (5)	Accruals and deferred income (5)	Accruals and deferred income (5)	Accruals and deferred income (5)

J.	Loans and other debts due to members (7)	Loans and other debts due to members (7)	Loans and other debts due to members (7)	Loans and other debts due to members (7)	Loans and other debts due to members (7)

K.	Members' other interests	Members' other interests	Members' other interests	Members' other interests	Members' other interests
		I.	Members' capital	Members' capital	Members' capital
		II.	Revaluation reserve	Revaluation reserve	Revaluation reserve
		III.	Other reserves	Other reserves	Other reserves
Format 2	Format 2	Format 2	Format 2	Format 2	Format 2
---	---	---	---	---	---

ASSETS	ASSETS	ASSETS	ASSETS	ASSETS	ASSETS

A.	Fixed assets	Fixed assets	Fixed assets	Fixed assets	Fixed assets
		I.	I.	Intangible assets	Intangible assets
					1.
					2.
		II.	II.	Tangible assets	Tangible assets
					1.
					2.
		III.	III.	Investments	Investments
					1.
					2.
					3.
					4.

B.	Current assets	Current assets	Current assets	Current assets	Current assets
		I.	I.	Stocks	Stocks
					1.
					2.
		II.	II.	Debtors (3)	Debtors (3)
					1.
					2.
					3.
		III.	III.	Investments	Investments
					1.
					2.
		IV.	IV.	Cash at bank and in hand	Cash at bank and in hand

C.	Prepayments and accrued income (4)	Prepayments and accrued income (4)	Prepayments and accrued income (4)	Prepayments and accrued income (4)	Prepayments and accrued income (4)

CAPITAL, RESERVES AND LIABILITIES	CAPITAL, RESERVES AND LIABILITIES	CAPITAL, RESERVES AND LIABILITIES	CAPITAL, RESERVES AND LIABILITIES	CAPITAL, RESERVES AND LIABILITIES	CAPITAL, RESERVES AND LIABILITIES

A.	A.	A.	Loans and other debts due to members (7)	Loans and other debts due to members (7)	Loans and other debts due to members (7)

B.	B.	B.	Members' other interests	Members' other interests	Members' other interests
		I.	I.	Members' capital (7)	Members' capital (7)
		II.	II.	Revaluation reserve	Revaluation reserve
		III.	III.	Other reserves	Other reserves

C.	Provisions for liabilities	Provisions for liabilities	Provisions for liabilities	Provisions for liabilities	Provisions for liabilities

D.	Creditors (8)	Creditors (8)	Creditors (8)	Creditors (8)	Creditors (8)
					1.
					2.
					3.
					4.

E.	Accruals and deferred income (5)	Accruals and deferred income (5)	Accruals and deferred income (5)	Accruals and deferred income (5)	Accruals and deferred income (5)

Goodwill(Formats 1 and 2, item A.I.1.)Amounts representing goodwill must only be included to the extent that the goodwill was acquired for valuable consideration.

Other intangible assets(Formats 1 and 2, item A.I.2.)Amounts in respect of concessions, patents, licences, trade marks and similar rights and assets must only be included in an LLP's balance sheet under this item if either—the assets were acquired for valuable consideration and are not required to be shown under goodwill, orthe assets in question were created by the LLP itself.

Debtors(Formats 1 and 2, items B.II.1 to 3.)The amount falling due after more than one year must be shown separately for each item included under debtors and, in the case of format 2, the aggregate amount falling due after more than one year must also be shown.

Prepayments and accrued income(Formats 1 and 2, item C.)This item may alternatively be included under item B.II.3 in Format 1 or 2.

Other creditors(Format 1, items D.4, G.4 and I and Format 2, items D.4 and E.)There must be shown separately—the amount of any convertible loans, andthe amount for creditors in respect of taxation and social security.Payments received on account of orders must be included in so far as they are not shown as deductions from stocks.In Format 1, accruals and deferred income may be shown under item I or included under item D.4 or G.4, or both (as the case may require). In Format 2, accruals and deferred income may be shown under item E or within item D.4 under Liabilities.

Net current assets (liabilities)(Format 1, item E.)In determining the amount to be shown under this item any prepayments and accrued income must be taken into account wherever shown.

Loans and other debts due to members(Format 1, item J and Format 2, Liabilities item A)The following amounts must be shown separately under this item—the aggregate amount of money advanced to the LLP by the members by way of loan,the aggregate amount of money owed to members by the LLP in respect of profits,any other amounts.

Creditors(Format 2, Liabilities items D.1 to 4.)Amounts falling due within one year and after one year must be shown separately for each of these items and for the aggregate of all of these items...

Cost of sales: distribution costs: administrative expenses(Format 1, items 2, 4 and 5.)These items must be stated after taking into account any necessary provisions for depreciation or diminution in value of assets.

Income from other fixed asset investments: other interest receivable and similar income(Format 1, items 9 and 10; Format 2, items 11 and 12.)Income and interest derived from group undertakings must be shown separately from income and interest derived from other sources. Interest receivable from members must not be included under this item.

Interest payable and similar expenses(Format 1, item 12; Format 2, item 14.)The amount payable to group undertakings must be shown separately. Interest payable to members must not be included under this item.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SECTION C — THE REQUIRED FORMATS FOR THE ACCOUNTS OF MICRO-ENTITIES

Format 1

ASSETSFixed assets Current Assets Prepayments and accrued income

CAPITAL, RESERVES AND LIABILITIES Loans and other debts due to members Members’ other interests Provisions for liabilities Creditors (1) Accruals and deferred income

Format 2

Creditors(Format 2, item D under Capital, Reserves and Liabilities)Aggregate amounts falling due within one year and after one year must be shown separately.

Turnover

Other income

Cost of raw materials and consumables

Staff costs

Depreciation and other amounts written off assets

Other charges

Tax

Profit or loss for the financial year before members’ remuneration and profit shares

15A

The opening balance sheet for each financial year must correspond to the closing balance sheet for the preceding financial year.

Intangible assets

Current assets

Equity method in respect of participating interests

29A

Participating interests may be accounted for using the equity method.

Information about revalued fixed assets

Post balance sheet events

62

The nature and financial effect of material events arising after the balance sheet date which are not reflected in the profit and loss account or balance sheet must be stated.

Parent undertaking information

63

Where the LLP is a subsidiary undertaking, the following information must be given in respect of the parent undertaking of the smallest group of undertakings for which group accounts are drawn up of which the LLP is a member—

(a) the name of the parent undertaking which draws up the group accounts,

(b) the address of the undertaking’s registered office (whether in or outside the United Kingdom), or

64

(1) Particulars may be given of transactions which the LLP has entered into with related parties, and must be given if such transactions are material and have not been concluded under normal market conditions with—

(a) members of the LLP that are related parties; and

(b) undertakings in which the LLP itself has a participating interest.

(2) Particulars of the transactions required to be disclosed under sub-paragraph (1) must include—

(a) the amount of such transactions,

(b) the nature of the related party relationship, and

(3) Information about individual transactions may be aggregated according to their nature, except where separate information is necessary for an understanding of the effects of the related party transactions on the financial position of the LLP.

(4) Particulars need not be given of transactions entered into between two or more members of a group, provided that any subsidiary undertaking which is a party to the transaction is wholly-owned by such a member.

(5) In this paragraph “related party” has the same meaning as in UK-adopted international accounting standards.

16A

Where an acquisition has taken place in the financial year and the merger method of accounting has been adopted, the notes to the accounts must also disclose the names and the addresses of the registered offices of the undertakings concerned (whether in or outside the United Kingdom).

Non-controlling interests

Deferred tax balances

20A

Deferred tax balances must be recognised on consolidation where it is probable that a charge to tax will arise within the foreseeable future for one of the undertakings included in the consolidation.

20B

Paragraph 64 of Schedule 1 to these Regulations applies to transactions which the parent LLP, or other undertakings included in the consolidation, have entered into with related parties, unless they are intra-group transactions.

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The Small Limited Liability Partnerships (Accounts) Regulations 2008

Non-IAS individual accounts: micro-entities – notes to the accounts

5A