The Real Estate Investment Trusts (Financial Statements of Group Real Estate Investment Trusts) Regulations 2006

Prospective

General U.K.

5.—(1) In accordance with paragraph 31(3), a financial statement for G (property rental business) for an accounting period and a financial statement for G (residual) for an accounting period must specify—

(a) income (in the manner specified in paragraph 31(3)(a)),

(b) expenses (in the manner specified in paragraph 31(3)(b)),

(c) profits before tax (in the manner specified in paragraph 31(3)(c)), and

(d) assets valued (in the manner specified in paragraph 31(3)(d)).

(2) The financial statement for G (property rental business) for an accounting period and the financial statement for G (residual) for an accounting period must exclude the following items—

(a) transactions between one member of the group and another member of the group;

(b) income and expenses payable between one member of the group and another member of the group;

(c) the value of holdings of one member of the group in another member of the group; and

(d) any balances held by one member of the group that relate to another member of the group.

(3) In accordance with paragraph 31(5), where a non-member of the group holds a percentage of the beneficial interest in a member (other than the principal company), the financial statement for G (property rental business) for an accounting period and the financial statement for G (residual) for an accounting period must exclude that percentage of income, expenses, gains, losses, assets and liabilities of the member.

(4) A reconciliation must be provided between—

(a) the financial statement for G (property rental business) for an accounting period and the financial statement for G (residual) for that accounting period, and

(b) the audited financial statements of the group for that accounting period (whether in the form of consolidated statements or of statements of individual members of the group).

(5) The expenses must show the following amounts separately—

(a) financing costs, and

(b) all other expenses.

(6) Financing costs—

(a) in the case of the financial statement for G (property rental business) for an accounting period, must include Financing Costs (external) (see regulation 6), and

(b) in the case of the financial statement for G (residual) for an accounting period, must include financing costs payable by a member of the group in respect of financing used in the business of G (residual).

Commencement Information

I1 Reg. 5 in force at 1.1.2007, see reg. 1(1)