Where an error is discovered subsequent to a set of financial statements having been filed with the Registrar, a mechanism now exists to have the accounts revised. Whereas previously there was no facility for rectifying the accounts on public record other than a High Court application to have the accounts removed, the Act introduces a new regime whereby directors are allowed revise financial statements (including the director’s report) (Sections 366 to 379).
Where any changes do not impact the presentation of the profit and loss account, the balance sheet or other primary statements, the revision may be completed by way of a supplemental note.
In instances where the primary statements are impacted, revised financial statements must be filed. Where the original filed financial statements included a report by the auditors, the revised set must also include an updated auditor’s report. Approval of the revised financial statements must be sought at the next scheduled AGM in circumstances where the originals had previously been approved by the members at an AGM. Revised financial statements must be submitted to the CRO within 28 days of the date of the revision.
CA 2014 summary of changes – revising financial statements:
• A mechanism has been introduced for the first time allowing financial statements that have been filed with the Registrar to be removed and revised. Certain specific rules apply.