In 2013, The European Union agreed upon implementing a new directive 2013/34/EU, which hoped to introduce and implement the new vision of “Think Small First – Small Business Act for Europe”, which was originally thought of in 2008 and revised in 2011. However, the European Union had yet to act upon these new ways of conducting the process of preparing new directives and legislation and as such the directive 2013/34/EU is the first step towards this. The Danish government has in cooperation with the business authorities and the relevant trade organizations put forward bill 117, which along with other subjects also introduce the new concept of micro entities. The bill was passed in 2015 and are to affect annual year report from 1. January 2016. This thesis sought to investigate what this new concept of micro entities means, why it has been introduced and for what purpose. Which changes does the new concept bring and what does the stakeholders of the micro entities think of it. The main documentation behind this thesis mainly consists of the legislation, the commentaries to the legislation alongside stakeholder comments. Being a fairly new concept, means that firsthand experience has yet to be made on the effect of the new concept of micro entities but however also testing and analysis on the preliminary investigations that is the foundation of the original thoughts behind the directive 2013/34/EU. This master thesis found, that the micro entities is a subsection of the already existing accounting class B, which aims to reduce bureaucratic burdens of the smallest of entities within the EU. Approximately 99 % of all non-financial companies within EU are considered SME’s and as such, it makes good sense for the European Union to make a great effort of reducing the burdens of these companies. However, the directive 2013/34/EU in its purest form, might actually fulfill the goal of reducing the burdens for the SME’s in EU, but not all changes and amendments in the directive has made it into bill 117 in the Danish legislation. The attempt in the Danish legislation seems half done and the vision of directive 2013/34/EU seems to be lost in transaction from EU legislation to local legislation. Further investigation into the effects of this new concept compared to the expected effect has to be made, to insure that introducing micro entities does not create just another unexpected burden to stakeholders.
|Educations||MSc in Auditing, (Graduate Programme) Final Thesis|
|Number of pages||106|