On 29 October 2016, the Commission Implementing Decision (EU) 2016/1910 of 28 October 2016 on the equivalence of the reporting requirements of certain third countries on payments to governments to the requirements of Chapter 10 of the Accounting Directive was published in the Official Journal of the EU ("Official Journal"), and entered into force on 18 November 2016.
Chapter 10 of the Accounting Directive requires large companies and public interest entities that are active in the extractive and forestry industries to report all material payments they make to governments on a country and project basis. In order to reduce administrative burden and avoid double reporting issues, EU companies may choose to prepare their reports in compliance with the reporting requirements of a third country assessed as equivalent in accordance with Article 47.
The decision provides that the reporting requirements adopted by Canada meet the criteria set out in Article 46(3) of Directive 2013/34/EU, and shall therefore be considered equivalent to the requirements of Chapter 10 of the Accounting Directive on payments to governments.
The Commission Implementing Decision (EU) 2016/1910 can be accessed at:
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
