Rechnungslegung
Rechnungslegung
20 November 2023

European Commission:
Delegated act to raise the thresholds for determining size classes

On October 17, 2023, the European Commission adopted a delegated act to raise the thresholds for determining the size classes of companies and groups. This raises the previous thresholds of total assets and turnover by approx. 25%. The thresholds for the size-dependent exemption from the group accounting obligation (Section 293 HGB) will also be increased by 25%. The number of employees remains unchanged.

Member states must apply the new thresholds from the 2024 financial year at the latest, but can also opt for early application from the 2023 financial year. It remains to be seen whether Germany will exercise this option.

The amending directive will enter into force on the third day following its publication in the Official Journal of the European Union, unless the European Parliament or the Council raise objections. The deadline for the review is generally two months after the adoption of the legal act. The amending directive must be transposed into national law within twelve months of its entry into force.

Background

According to Art. 3 (13) of the Accounting Directive, the Commission is obliged to review the thresholds at least every five years. The increase in the thresholds is intended to take account of the effects of inflation, which has cumulatively amounted to around 24.3% in the EU since the last increase in 2013. The WPK had commented as part of the consultation (New on WPK.de dated October 5, 2023 (in German)).

la

All