This KPMG publication is intended as a practical tool for the transition of the accounting and/or financial reporting to a foreign currency.
On 23 December 2011 the Swiss Parliament enacted the new law on accounting and financial reporting (Accounting Law), which became effective on 1 January 2013. It will be applicable to financial statements as of and for the financial year 2015, and for consolidated accounts as of 2016, respectively.
The first part of the publication discusses the criteria for determining the functional currency. The second part primarily presents the steps to implement the transition using illustrative examples. The third and last part treats the accepted methods for translating figures into Swiss francs, which is an additional requirement if the company prepares its stand-alone financial statements under company law in a foreign currency.
Accounting and financial reporting regulations apply to all companies with revenue in excess of CHF500,000 regardless of their legal form.
The transitional provisions of the new accounting law contain different regulations for the first adoption.
The illustrative financial statements represent a possible financial reporting for the year 2016.
© 2017 KPMG Holding AG is a member of the KPMG network of independent firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss legal entity. All rights reserved.