Nick Randall takes a look at the proposed changes to the
SORP on accounting by LLPs.
As with previous versions, the proposed new statement of
recommended practice (SORP) revealed in October addresses matters
that are specific to the structure of limited liability
partnerships (LLPs). The changes in accounting introduced by FRS102
in March will be equally relevant to LLPs and as the SORP is not a
comprehensive guide to all accounting requirements, firms will need
to consider both the SORP and FRS102 when they approach transition
date.
The main changes, are set out below.
Statement of changes in equity
FRS102 requires that a statement of changes in equity (SOCIE) is
presented as a primary statement. While there are many similarities
between the SOCIE and the reconciliation of members' interests,
more information is required for the latter. Where an LLP decides
to use the reconciliation of members' interests in place of the
SOCIE, it will need to present full
