The effective date of the application of this FRSIC CONSENSUS was 1 September 2009.
The release of FRSIC Consensus 13 – Expenses Permitted To Be Written Off Against The Share Premium Account Under Section 60 of the Companies Act, 1965 provides guidance, on the the practice of writing off some or all of the expenses incurred in a listing exercise against the share premium account described in Paragraph 4 of this Consensus may contravene Section 60 sub-section(3) of the Act, as well as FRS 132 “Financial Instruments: Disclosure and Presentation”, since some of the expenses may be deemed to be incurred for purposes other than for the issue of shares, i.e. some of the expenses are not incurred in connection with the issue of shares. Guidance is therefore needed to clarify expenses which are permitted to be written-off against the share premium account.
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