CFM23092 | New UK GAAP: FRS 105: history of FRS 105

New UK GAAP is the term used by this manual to refer to FRS 101, FRS 102 and FRS 105.

Origins of FRS 105

FRS 105 “The Financial Reporting Standard applicable to the Micro-entities Regime” is the result of a number of years of work and consultation about how UK GAAP for micro entities was going to be updated.

Issued in July 2015 FRS 105 was made initially available to companies that qualified for, and chose to apply, the micro-entities regime. FRS 105 has been subsequently updated for LLPs and qualifying partnerships as well as the results of the first triennial review. This update was completed in 2017.

FRS 105 is based on FRS 102, but its accounting requirements are adapted to satisfy the legal requirements applicable to micro-entities and to reflect the simpler nature and smaller size of micro entities.