The Small Limited Liability Partnerships (Accounts) Regulations 2008

PART 1 GENERAL RULES AND FORMATS

SECTION A GENERAL RULES

1.—(1) Subject to the following provisions of this Schedule—

(a) every balance sheet of an LLP must show the items listed in either of the balance sheet formats in Section B of this Part, and

(b) every profit and loss account must show the items listed in either of the profit and loss account formats in Section B.

(2) References in this Schedule to the items listed in any of the formats in Section B are to those items read together with any of the notes following the formats which apply to those items.

(3) The items must be shown in the order and under the headings and sub-headings given in the particular format used, but—

(a) the notes to the formats may permit alternative positions for any particular items, and

(b) the heading or sub-heading for any item does not have to be distinguished by any letter or number assigned to that item in the format used.

2.—(1) Where in accordance with paragraph 1 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 B, 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.

(2) Particulars of any such change must be given in a note to the accounts in which the new format is first used, and the reasons for the change must be explained.

3.—(1) Any item required to be shown in an LLP’s balance sheet or profit and loss account may be shown in greater detail than required by the particular format used.

(2) The balance sheet or profit and loss account may include an item representing or covering the amount of any asset or liability, income or expenditure not otherwise covered by any of the items listed in the format used, save that none of the following may be treated as assets in any balance sheet—

(a) preliminary expenses,

(b) expenses of, and commission on, any issue of debentures,

(c) costs of research.

4.—(1) Where the special nature of the LLP’s business requires it, the members of the LLP must adapt the arrangement, headings and sub-headings otherwise required in respect of items given an Arabic number in the balance sheet or profit and loss account format used.

(2) The members may combine items to which Arabic numbers are given in any of the formats set out in Section B if—

(a) their individual amounts are not material to assessing the state of affairs or profit or loss of the LLP for the financial year in question, or

(b) the combination facilitates that assessment.

(3) Where sub-paragraph (2)(b) applies, the individual amounts of any items which have been combined must be disclosed in a note to the accounts.

5.—(1) Subject to sub-paragraph (2), the members must not include a heading or sub-heading corresponding to an item in the balance sheet or profit and loss account format used if there is no amount to be shown for that item for the financial year to which the balance sheet or profit and loss account relates.

(2) Where an amount can be shown for the item in question for the immediately preceding financial year that amount must be shown under the heading or sub-heading required by the format for that item.

6.  Every profit and loss account must show the amount of an LLP’s profit or loss on ordinary activities before taxation.

7.—(1) For every item shown in the balance sheet or profit and loss account the corresponding amount for the immediately preceding financial year must also be shown.

(2) Where that corresponding amount is not comparable with the amount to be shown for the item in question in respect of the financial year to which the balance sheet or profit and loss account relates, the former amount may be adjusted, and particulars of the non-comparability and of any adjustment must be disclosed in a note to the accounts.

8.  Amounts in respect of items representing assets or income may not be set off against amounts in respect of items representing liabilities or expenditure (as the case may be), or vice versa.

9.  The members of the LLP must, in determining how amounts are presented within items in the profit and loss account and balance sheet, have regard to the substance of the reported transaction or arrangement, in accordance with generally accepted accounting principles or practice.

SECTION B THE REQUIRED FORMATS FOR ACCOUNTS(1)

Balance sheet formats
Format 1
A.	Fixed assets
		I.	Intangible assets
				1.	Goodwill (1)
				2.	Other intangible assets (2)
		II.	Tangible assets
				1.	Land and buildings
				2.	Plant and machinery etc.
		III.	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
		I.	Stocks
				1.	Stocks
				2.	Payments on account
		II.	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
				1.	Shares in group undertakings
				2.	Other investments
		IV.	Cash at bank and in hand
C.	Prepayments and accrued income (4)
D.	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)
F.	Total assets less current liabilities
G.	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
I.	Accruals and deferred income (5)
J.	Loans and other debts due to members (7)
K.	Members’ other interests
		I.	Members’ capital
		II.	Revaluation reserve
		III.	Other reserves

Balance sheet formats
Format 2
ASSETS
A.	Fixed assets
		I.		Intangible assets
					1.	Goodwill (1)
					2.	Other intangible assets (2)
		II.		Tangible assets
					1.	Land and buildings
					2.	Plant and machinery etc.
		III.		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
		I.		Stocks
					1.	Stocks
					2.	Payments on account
		II.		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
					1.	Shares in group undertakings
					2.	Other investments
		IV.		Cash at bank and in hand
C.	Prepayments and accrued income (4)
LIABILITIES
A.			Loans and other debts due to members (7)
B.			Members’ other interests
		I.		Members’ capital (7)
		II.		Revaluation reserve
		III.		Other reserves
C.	Provisions for liabilities
D.	Creditors (8)
					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.	Accruals and deferred income (5)

Notes on the balance sheet formats

(1)

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.

(2)	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—

(a) the assets were acquired for valuable consideration and are not required to be shown under goodwill, or

(b) the assets in question were created by the LLP itself.

(3)

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 unless the aggregate amount of debtors falling due after more than one year is disclosed in the notes to the accounts.

(4)	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.

(5)	Other creditors

(Format 1, items D.4, G.4 and I and Format 2, items D.4 and E.)

There must be shown separately—

(a) the amount of any convertible loans, and

(b) the 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.

(6)	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.

(7)	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—

(a) the aggregate amount of money advanced to the LLP by the members by way of loan,

(b) the aggregate amount of money owed to members by the LLP in respect of profits,

(c) any other amounts.

(8)

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 unless the aggregate amount of creditors falling due within one year and the aggregate amount of creditors falling due after more than one year is disclosed in the notes to the accounts.

Profit and loss account formats
Format 1
(see note (12) below)
	1.	Turnover
	2.	Cost of sales (9)
	3.	Gross profit or loss
	4.	Distribution costs (9)
	5.	Administrative expenses (9)
	6.	Other operating income
	7.	Income from shares in group undertakings
	8.	Income from participating interests
	9.	Income from other fixed asset investments (10)
	10.	Other interest receivable and similar income (10)
	11.	Amounts written off investments
	12.	Interest payable and similar charges (11)
	13.	Tax on profit or loss on ordinary activities
	14.	Profit or loss on ordinary activities after taxation
	15.	Extraordinary income
	16.	Extraordinary charges
	17.	Extraordinary profit or loss
	18.	Tax on extraordinary profit or loss
	19.	Other taxes not shown under the above items
	20.	Profit or loss for the financial year before members’ remuneration and profit shares

Profit and loss account formats
Format 2
	1.	Turnover
	2.	Change in stocks of finished goods and in work in progress
	3.	Own work capitalised
	4.	Other operating income
	5.	(a)	Raw materials and consumables
		(b)	Other external charges
	6.	Staff costs
		(a)	wages and salaries
		(b)	social security costs
		(c)	other pension costs
	7.	(a)	Depreciation and other amounts written off tangible and intangible fixed assets
		(b)	Exceptional amounts written off current assets
	8.	Other operating charges
	9.	Income from shares in group undertakings
	10.	Income from participating interests
	11.	Income from other fixed asset investments (10)
	12.	Other interest receivable and similar income (10)
	13.	Amounts written off investments
	14.	Interest payable and similar charges (11)
	15.	Tax on profit or loss on ordinary activities
	16.	Profit or loss on ordinary activities after taxation
	17.	Extraordinary income
	18.	Extraordinary charges
	19.	Extraordinary profit or loss
	20.	Tax on extraordinary profit or loss
	21.	Other taxes not shown under the above items
	22.	Profit or loss for the financial year before members’ remuneration and profit shares

Notes on the profit and loss account formats

(9)	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.

(10)	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.

(11)	Interest payable and similar charges

(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.

(12)

Format 1

The amount of any provisions for depreciation and diminution in value of tangible and intangible fixed assets falling to be shown under item 7(a) in Format 2 must be disclosed in a note to the accounts in any case where the profit and loss account is prepared using Format 1.

(1)

A number in brackets following any item is a reference to the note of that number in the notes following the formats.