Paragraph 4 I1

United Kingdom

(1)

The amount of any item shall be determined on a prudent basis, and in particular—

(a)

only profits realised at the date of the balance sheet shall be included in the income and expenditure account; and

(b)

all liabilities F1... which have arisen ... in respect of the financial year to which the accounts relate or a previous financial year shall be taken into account, including those which only become apparent between the balance sheet date and the relevant date.

(2)

For the purposes of sub-paragraph (1), the relevant date is the date of signature of the balance sheet of the society on behalf of the board of directors under section 80 of the Act (signing of balance sheet and of documents).

Annotations

Textual amendments

F1: Words in Sch. 7 para. 4(1)(b) omitted (31.12.2004 with application in accordance with reg. 1(2) of the amending S.I.) by virtue of The Building Societies (Accounts and Related Provisions) (Amendment) Regulations 2004 (S.I. 2004/3199), regs. 1(1), 6

Commencement

I1: Sch. 7 para. 4 in force at 27.3.1998, see reg. 1