Updated 15/01/2025
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Version from: 01/01/2015
Amendments (5)
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TD ToolRegulation 1569/2007
Article 4

Article 4 - Conditions for the acceptance of third country accounting standards for a limited period

Attention! This article was amended after the current consolidated version was issued. The amendments apply since 25/09/2015. Please consult Delegated Regulation 2015/1605 to review the changes made to the article.

Article 4

Conditions for the acceptance of third country accounting standards for a limited period

1.  

Third country issuers may be permitted to use financial statements drawn up in accordance with the accounting standards of a third country in order to comply with obligations under Directive 2004/109/EC and, by derogation from Article 35(5) of Regulation (EC) No 809/2004, to provide historical financial information under that Regulation for a period commencing any time after 31 December 2008 and expiring no later than   31 March 2016 in the following cases:

(a) 

the third country authority responsible for the national accounting standards concerned has made a public commitment to converge these standards with International Financial Reporting Standards at the latest by  31 March 2016 and both the following conditions are met:

(i) 

the third country authority responsible for the national accounting standards concerned has established a convergence programme that is comprehensive and capable of being completed before  31 March 2016;

(ii) 

the convergence programme is effectively implemented, without delay, and the resources necessary for its completion are allocated to its implementation;

(b) 

the third country authority responsible for the national accounting standards concerned has made a public commitment to adopt International Financial Reporting Standards before  31 March 2016 and effective measures are taken in the third country to secure their timely and complete implementation by that date.

2.  
Any decision under paragraph 1 to permit the continued acceptance of financial statements drawn up in accordance with the accounting standards of a third country shall be made in accordance with the procedure referred to in Article 24 of Directive 2003/71/EC and Article 27(2) of Directive 2004/109/EC.
3.  
Where the Commission permits the continued acceptance of financial statements drawn up in accordance with the accounting standards of a third country in accordance with paragraph 1, it shall review regularly whether the conditions specified in point (a) or (b) (as the case may be) continue to be met, and shall report accordingly to the European Parliament.
4.  
If the conditions in point (a) or (b) of paragraph 1 are no longer met, the Commission shall take a decision in accordance with the procedure referred to in Article 24 of Directive 2003/71/EC and Article 27(2) of Directive 2004/109/EC amending its decision under paragraph 1 in respect of these accounting standards.
5.  
When complying with this Article, the Commission shall first consult ESMA on the convergence programme or the progress towards adoption of IFRS, as the case may be.