The CSSF has relayed the publication of the Commission des normes comptables (CNC) regarding the implementation of the consolidation exemption for small groups (Article 1711-4 LSC) and entitled "Questions / Réponses CNC 22/028 ("Q&A CNC 22/028"): " Mise en œuvre de l’exemption petits groupes (article 1711-4 LSC) : modalités pratiques " (

The purpose of this publication is to provide accounting doctrine on the practical details of the consolidation exemption as provided for in article 1711-4, paragraph 1 of the amended law of August 10, 1915 on commercial companies (LSC), the so-called "small group exemption". This article provides that: "(1) By way of derogation from article 1711-1, paragraph 1, any parent company is exempted from the obligation to draw up consolidated accounts and a consolidated annual report if, at the date of the closing of its balance sheet, all the companies which would have to be consolidated do not exceed, on the basis of their latest annual accounts, at least two of the following three criteria :

- balance sheet total: 20 million euros ;

- net turnover: 40 million euros;

- number of full-time staff employed on average during the financial year: 250.

The CNC recalls in particular the criterion of repetition of two consecutive years for the application of this exemption. It should be noted that the exemption from consolidation applicable to a small group is not available for bank holding companies subject to prudential supervision on a consolidated basis by the CSSF and choosing to prepare their consolidated accounts in accordance with Title XVII of the LSC. The same applies to insurance holding companies. The exemption is also not available for listed companies.

Our team is at your disposal for any questions regarding consolidation.

Sources :

Q&A CNC 22/028 concernant la mise en œuvre de l’exemption de consolidation petits groupes (article 1711-4 LSC) – CSSF

Nathalie Mathey