site.btaParliament Amends Accountancy Act on Second Reading

Parliament adopted on second reading amendments to the Accountancy Act here on Wednesday that oblige companies to include a sustainability report in their annual reports. Corporate sustainability should encompass both an analysis of the financial performance of companies and an analysis of the socio-economic impact as a result of that performance.

The sustainability report will be prepared by large companies and small and medium-sized enterprises (but not by micro-enterprises) whose transferable securities are admitted to trading on a regulated market in an EU Member State (public-interest entities), as well as by parent companies of large groups of companies.

The legislation sets new, higher benchmarks for book value of assets and net sales when categorizing businesses and groups by size.