That will depend on the items in your accounts and whether you adopt certain transition exemptions. Some of the key differences are that, under FRS 102, subject to transition exemptions:
- more items (such as financial instruments, biological assets) can or must be measured at fair value with changes in fair value taken to profit and loss;
- investment property revaluations affect reported profit and deferred tax;
- the profit and loss impact of defined benefit plans includes interest (not the expected return) on plan assets;
- for group defined benefit pension schemes the net defined benefit asset or liability must be recognised by at least one entity in the group;
- there is a choice of two methods for recognising government grants;
- lease incentives are spread over the lease term;
- exchange differences arising from foreign currency transactions and foreign operations may be measured differently;
- merger accounting is only permitted for group reconstructions; and
- changes in controlling interests in subsidiaries are recognised in other comprehensive income.
The recognition of certain items also changes which may affect reported results. Changes include separate recognition, amortisation and impairment of intangible assets acquired as part of a business combination, and the recognition of intangible assets and/or financial assets under contracts to construct and operate infrastructure for public services.
There may be other changes that affect your accounting profits depending on your circumstances. The above matters may also impact your taxable profits and/or your distributable profits.
The primary statements and notes to your accounts will be different. For example, a Statement of total recognised gains and losses, Note of historical cost profits and losses and Reconciliation of movements in shareholders’ funds, are not required.
FRS 102 still requires items recognised outside of profit or loss to be presented, but they are included within the Statement of comprehensive income (or an equivalent statement) and the Statement of changes in equity.
The presentation of some items will differ, such as the categories of cash flow shown in the Statement of Cash Flows. In addition, software purchased or developed for internal use rather than as part of a commercial project, that has been capitalised as a tangible fixed asset will be recategorised as an intangible asset under FRS 102.
There are also differences in the disclosure requirements, for example, FRS 102 requires disclosure of the aggregate employee benefits for key management and some minimal disclosures about provisions and contingencies that may be “seriously prejudicial”, including particulars of the provisions and contingencies and a reconciliation of the opening and closing provisions, in aggregate.