Transition guidance

The following Transition Guidance Notes set out the detailed accounting requirements to be followed as part of the first-time adoption process in respect of the differences between IFRS and UK GAAP.

In many cases, the accounting requirements under IFRS are the same as under UK GAAP, so there will be no transition issues. These sections will have 'Not required' in the download column in the table below.

These Transition Guidance Notes (which have been considered by the Local Authority Accounting Panel) do not form any part of the hierarchy of accounting provisions that authorities are required to follow, summarised in Section 1.1.6 of the Code. They do not introduce new standards for the preparation of financial statements or impose particular interpretations of statutory prescriptions or the requirements of the Code. They are not intended in any way to be prescriptive or interpretative.

Chapter / Section

Chapter 1 Introduction

2.1 Concepts

2.2 Business Improvement District (BID) Schemes 

2.3 Government and Non-Government Grants (PDF)
2.3 Government and Non-Government Grants (XLS)

2.4 Landfill Allowance and other ‘Cap and Trade’ Schemes

2.5 Machinery of Government Changes

2.6 Principal and Agent Transactions

2.7 Revenue Recognition

2.8 Tax Income (Council Tax etc.)

2.9 Value Added Tax

3.1 Explanatory Foreword

3.2 Statement of Responsibilities

3.3 Accounting Polices, Changes in Accounting Estimates and Errors

3.4 Presentation of Financial Statements (PDF)
3.4 Presentation of Financial Statements (XLS)

3.5 Housing Revenue Account (PDF)
3.5 Housing Revenue Account (XLS)

3.6 Collection Fund etc.

3.7 Internal Control Statements

3.8 Events after the Reporting Period

3.9 Related Party Disclosures (PDF)

4.1 Property, Plant and Equipment (PDF) 
4.1 Property, Plant and Equipment (XLS)

4.2 Leases (PDF)
4.2 Leases (XLS)

4.3 PFI and PPP Arrangements

4.4 Investment Property (PDF)

4.5 Intangible Assets (PDF)
4.5 Intangible Assets (XLS)

4.6 Revenue Expenditure Funded from Capital under Statute

4.7 Impairment of Assets (PDF)
4.7 Impairment of Assets (XLS)

4.8 Borrowing Costs (PDF)
4.8 Borrowing Costs (XLS)

4.9 Non-current Assets Held for Sale (PDF)
4.9 Non-current Assets Held for Sale (XLS)

5.1 Inventories (PDF)
5.1 Inventories (XLS)

5.2 Work in Progress (Construction Contracts)

5.3 Debtors

6.1 Employee Benefits – Introduction and Definitions

6.2 Benefits Payable During Employment (PDF)
6.2 Benefits Payable During Employment (XLS)

6.3 Termination Benefits (PDF)

6.4 Post-employment Benefits (PDF)

6.5 Accounting and Reporting by Pension Funds (PDF)

Chapter 7 Financial Instruments (PDF)

8.1 Creditors

8.2 Provisions, Contingent Liabilities and Contingent Assets

Chapter 9 Group Accounts (PDF)

Appendix A IFRSs with limited application to Local Authorities (PDF)

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