The authorities have published on its website a regulation amending the regulation of plan ANC 2014-03 general ledger. Applies for the periods beginning from 01 January 2016 (subject to the approval of the regulation before the end of the year).
It is a new approach in the definition of goodwill, the valuation of tangible, intangible assets and goodwill generated subsequent to their date of entry (due to a merger), as well as the information mentioned in the annex to the annual accounts.
1. Definition of goodwill
Corresponds to the intangible value arising from factors such as the value of the brand, customers, trade name, experience and prestige. The intangibles acquired that are not subject to an evaluation in a separate balance sheet that contribute to the maintenance and development of the potential activity of the entity are recorded in goodwill (2015-06 regulation of 23-11 – 2015 s.1;) Art PCG. modified 212-3).
2. Depreciation and amortization of goodwill
The goodwill that has an unlimited duration, in principle it is not depreciable. However, when it is possible to determine a period of limited use, goodwill can be amortized during this period, or in 10 years when the duration cannot be determined reliably (23-11-2015 art regulation 2015-06). By simplifying, small enterprises within the meaning of article l. 123 – 16 of the code of Commerce (4 million euros of the balance sheet total, 8 million euros of turnover and 50 employees), can depreciate all assets in more than 10 years.
The goodwill whose duration of use is not limited, an impairment test will take place at least once a year, whether or not an index of loss value (PCG 214-15 amended article). Finally, impairment losses recognized in goodwill will never be reverted (PCG 214 19. amended article).
3. Accounting for losses due to a merger
Now is not booked entirety with goodwill but in tangible, intangible according to the affected assets. Only the residual value will affect the goodwill.
4. Information required in the annex to the annual accounts
Shall be defined, in addition to French peculiarities (person natural or legal and fiscal), depending on the category of enterprise (micro, small, other) (2015-06 regulation of 23-11 -2015 s. 13).