Companies Act 2014 section 1213

Modification of definition of "IAS Regulation" in the case of CLGs

Section 1213 extends the modified definition of "IAS Regulation" that applies to public limited companies (PLCs) so that it also applies to companies limited by guarantee (CLGs).

• The IAS Regulation governs the use of International Accounting Standards (IAS) in preparing financial statements.
• Section 1116 sets out a modified definition of "IAS Regulation" for PLCs, and Section 1213 applies that same modification to CLGs.
• This ensures CLGs are treated consistently with PLCs regarding the application of international accounting standards requirements.
• In practice, CLGs must follow the same rules as PLCs when determining how the IAS Regulation applies to their financial reporting obligations.