Облік і фінанси (Mar 2023)
Normative and Legal Regulation for Integrated Reporting
Abstract
In order to make management decisions to ensure the sustainable development of the enterprise, appropriate accounting support is required, an important element of which is integrated reporting. Since 2018, medium and large agricultural enterprises in Ukraine have been required to prepare a Management Report. In practice, during the preparation of this report, questions still arise because the information requirements for this element of integrated reporting grow every year. The article aims to analyze the legal regulation of the formation of integrated reporting by agricultural enterprises and identify problems related to the preparation of integrated reporting in Ukraine. The regulatory and legal regulation structure of financial and non-financial indicators of integrated reporting in Ukraine was disclosed. An analysis of indicators that must be disclosed in integrated reporting has been carried out. It has been established that the appearance of a mandatory, independent Management Report in Ukraine results from the implementation of EU Directives. The Management Report is intended to supplement financial reporting with non-financial information that characterizes the state and prospects of the enterprise's development, reflecting its activity's main risks and uncertainties. At present, a precise mechanism for the publication of non-financial statements is not defined by law, and responsibility for the completeness and reliability of the published information in non-financial statements is not provided. At the same time, Ukrainian enterprises are gradually joining the practice of compiling integrated reporting and placing it freely available on their websites. This study will help enterprises better understand the requirements governing the preparation and publication process of integrated reporting, particularly the Management Report.
Keywords
