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HMRC internal manual

Corporate Intangibles Research and Development Manual

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HM Revenue & Customs
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Intangible assets: notes on accounting practice: FRS for Smaller Entities

Under UK GAAP practice smaller companies are entitled (but not required) to draw up their accounts (apart from consolidated accounts) under the provisions of the FRS for Smaller Entities rather than under the individual FRS, including FRS7, FRS10 and FRS11.

The objective of the FRS for Smaller Entities is to provide an accounting framework for smaller reporting entities which provides adequate information about their financial position, performance and financial adaptability while recognising that the accounting requirements may not need to be so detailed as for larger entities.

The Revenue Accountants’ web-site carries further general information on the FRS for Smaller Entities, and also an article explaining the differences in the treatment of goodwill and intangible assets under the individual standards on the one hand and the FRS for Smaller Entities on the other.