HKFRS for Private Entities (私營企業香港財務報告準則)
Welcome to the HKFRS for Private Entities Information Centre
The Hong Kong Institute of Certified Public Accountants (HKICPA) issued the Hong Kong Financial Reporting Standard for Private Entities (HKFRS for Private Entities) as a financial reporting option for Private Entities on 30 April 2010 with the objective to ease the reporting burden of Private Entities by relieving them of the requirement to apply full Hong Kong Financial Reporting Standards (HKFRSs).
Private Entities is defined in Section 1 of HKFRS for Private Entities as entities that:
|(a)||do not have public accountability; and|
|(b)||publish general purpose financial statements for external users. Examples of external users include owners who are not involved in managing the business, existing and potential creditors, and credit rating agencies.|
Paragraph 1.3 of HKFRS for Private Entities states that an entity has public accountability if:
|(a)||its debt or equity instruments are traded in a public market or it is in the process of issuing such instruments for trading in a public market (a domestic or foreign stock exchange or an over-the-counter market, including local and regional markets), or|
|(b)||it holds assets in a fiduciary capacity for a broad group of outsiders as one of its primary businesses. This is typically the case for banks, credit unions, insurance companies, securities brokers/dealers, mutual funds and investment banks.|
Entities are not mandated to adopt the HKFRS for Private Entities even they are eligible to do so. The scope and applicability of HKFRSs and Small and Medium-sized Entity Financial Reporting Framework and Financial Reporting Standard remain unchanged.
HKFRS for Private Entities is effective immediately upon issue on 30 April 2010. Eligible entities are permitted to use HKFRS for Private Entities to prepare their financial statements for prior period(s) where the relevant financial statements have not been finalised and approved.
The HKFRS for Private Entities has been updated in response to the IASB's issuance of 2015 limited amendments to the IFRS for SMEs. The revised HKFRS for Private Entities is effective for annual periods beginnign on or after 1 January 2017.
What you were looking for? Find out about HKFRS for Private Entities
- What's new
- Pronouncement of HKFRS for Private Entities
- References issued by Standard Setters
- Training and Information Events
- General Enquiries
- Members' handbook update no. 200 contains revised HKFRS for Private Entities
- Marked-up version of revised HKFRS for Private Entities
- Members' handbook update no. 175 contains 2015 Amendments to the HKFRS for Private Entities
The pronouncement of HKFRS for Private Entities includes the followings:
- HKFRS for Private Entities (Revised)
- Basis for Conclusions
- Illustrative Financial Statements and Presentation and Disclosure Checklist
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General enquiries may be sent by e-mail to technical enquiry system.
Last updated: 13 October 2018