AI Summary of Article 9 General provisions concerning the balance sheet and the profit and loss account
The layout of the balance sheet and the profit and loss account must be retained from one financial year to the next, subject to permitted exceptional departures to give a true and fair view; any such departure and reasons must be disclosed in the notes. Items in Annexes III–VI are to be shown separately in the prescribed order; Member States may allow or require more detailed subdivision, addition of subtotals or new items so long as prescribed layouts are respected. Numbering and terminology may be adapted for special undertakings or combined where immaterial, provided combined items are disclosed separately. Member States may limit departures for electronic filing. Figures for the current and preceding financial year must be presented and any non‑comparability or adjustments disclosed. Layout may be adapted to include appropriation of profit or treatment of loss.
In respect of participating interests, Member States may permit or require use of the equity method in annual financial statements in line with Article 27, with necessary adjustments for annual reporting. Member States may permit or require recognition of the proportion of profit or loss attributable to the participating interest only to the extent of dividends already received or claimable; where recognised profit exceeds dividends received or claimable, the excess must be placed in a reserve that cannot be distributed to shareholders.
Article 9 General provisions concerning the balance sheet and the profit and loss account
1. The layout of the balance sheet and of the profit and loss account shall not be changed from one financial year to the next. Departures from that principle shall, however, be permitted in exceptional cases in order to give a true and fair view of the undertaking's assets, liabilities, financial position and profit or loss. Any such departure and the reasons therefor shall be disclosed in the notes to the financial statements.
2. In the balance sheet and in the profit and loss account the items set out in Annexes III to VI shall be shown separately in the order indicated. Member States shall permit a more detailed subdivision of those items, subject to adherence to the prescribed layouts. Member States shall permit the addition of subtotals and of new items, provided that the contents of such new items are not covered by any of the items in the prescribed layouts. Member States may require such subdivision or subtotals or new items.
3. The layout, nomenclature and terminology of items in the balance sheet and profit and loss account that are preceded by arabic numerals shall be adapted where the special nature of an undertaking so requires. Member States may require such adaptations for undertakings which form part of a particular economic sector.
Member States may permit or require balance sheet and profit and loss account items that are preceded by arabic numerals to be combined where they are immaterial in amount for the purposes of giving a true and fair view of the undertaking's assets, liabilities, financial position and profit or loss or where such combination makes for greater clarity, provided that the items so combined are dealt with separately in the notes to the financial statements.