s 7 The exemptions for individual
(1) The directors of a company which is entitled to the benefit of the exemptions for individual accounts in respect of any accounting reference period may deliver copies of modified accounts to the registrar of companies in respect of that period instead of copies of the accounts of the company prepared in respect of that period under section 1 of the 1976 Act. (2) The modifications permitted in the case of the accounts of a small company delivered to the registrar in respect of any accounting reference period are as follows— (a) subject to subsection (4) below, the directors may deliver to the registrar of companies a copy of a modified balance sheet prepared for the purposes of this section in respect of that period, instead of a copy of the company’s balance sheet prepared in respect of that period under section 1 of the 1976 Act; (b) the directors shall not be required under section 1(7)(a) of that Act to deliver to the registrar a copy of the company’s profit and loss account prepared in respect of that period under that section ; c. 62 Companies Act 1981 (c) the information required by Schedule 8 to the 1948 Act to be given in notes to the accounts need not be so given, with the exception of any information required in relation to the accounts delivered to the registrar by any of the provisions of that Schedule mentioned in subsection (5) below ; and (d) the information required by section 196 of the 1948 Act (aggregate amounts of directors’ salaries etc.) or section 6, 7 or 8 of the 1967 Act (detailed particulars of salaries, etc., of directors and certain other employees) need not be given. (3) A modified balance sheet prepared for the purposes of this section in respect of any accounting reference period of a company shall be an abbreviated version of the company’s balance sheet prepared under section 1 of the 1976 Act in respect of that period, showing only those items to which a letter or Roman number is assigned in the balance sheet format adopted by the company in accordance with Part I of Schedule 8 to the 1948 Act, but in other respects corresponding to the balance sheet prepared under section 1. (4) Where by virtue of subsection (2)(a) above the directors of a company deliver to the registrar of companies a copy of a modified balance sheet prepared in respect of any accounting reference period for the purposes of this section— (a) the aggregate of the amounts required by note (5) of the notes on the balance sheet formats set out in Part I of Schedule 8 to the 1948 Act to be shown separately for each item included under debtors (amounts falling due after more than one year) ; and (b) the aggregate of the amounts required by note (/3) of those notes to be shown separately for each item included under creditors in Format 2 of those formats (amounts falling due within one year or after more than one year) ; shall be disclosed in the balance sheet or in a note to the accounts. (5) The provisions of Schedule 8 referred to in subsection (2)(c) above are the following— paragraph 36 (accounting policies) ; paragraph 38 (share capital) ; paragraph 39 (particulars of allotments) ; paragraph 48(1) and (4) (particulars of debts) ; paragraph 58(1) (basis of translation of foreign currency amounts into sterling) ; and paragraph 58(2) (corresponding amounts for previous financial year) ; Companies Act 1981 c. 62 and the reference above to paragraph 58(2) includes that subparagraph as it applies to any item stated in a note to the company’s accounts, whether by virtue of a requirement of Schedule 8 mentioned above in this subsection or by virtue of any other requirement of the Companies Acts. (6) The directors of a small company which is entitled to the benefit of the exemptions for individual accounts in respect of any accounting reference period shall not be required under section 1(7)(a) of the 1976 Act to deliver to the registrar of companies in respect of that period a copy of the report of the directors required by section 157(1) of the 1948 Act to be attached to the company’s balance sheet prepared under section 1. (7) The modifications permitted in the case of the accounts of a medium-sized company delivered to the registrar in respect of any accounting reference period are as follows— ; (a) the directors may deliver to the registrar of companies a copy of a modified profit and loss account prepared for the purposes of this section in respect of that period, instead of a copy of the company’s profit and loss account prepared in respect of that period under section 1 of the 1976 Act; and (b) the information required by paragraph 55 of Schedule 8 to the 1948 Act (particulars of turnover) need not be given. (8) A modified profit and loss account prepared for the purposes of this section in respect of any accounting reference period of a company shall correspond to the company’s profit and loss account prepared under section 1 of the 1976 Act in respect of that period, save for the combination as one item under the heading “ gross profit or loss” of the items listed in the profit and loss account formats set out in Part I of Schedule 8 to the 1948 Act which are specified in paragraph (a), (b), (c) or (d) below (according to the format adopted by the company)— (a) items 1, 2, 3 and 6 in Format 1 ; (b) items 1 to 5 in Format 2; (c) items A.1, B.1 and B.2 in Format 3 ; and (d) items A.1, A.2 and B.1 to B.4 in Format 4. (9) References in this Part of this Act, in relation to any company, to modified accounts are references to accounts which comprise or correspond to the accounts (excluding any group accounts) prepared under section 1 of the 1976 Act in respect of any accounting reference period of the company, save for any modifications permitted in accordance with this section in the case of that company. c. 62 Companies Act 1981 (10) Except as provided by section 10 of this Act, nothing in this section affects any group accounts required to be delivered to the registrar of companies in respect of any accounting reference period of a company.