Commission Delegated Directive (EU) 2023/2775 as regards the adjustments of the size criteria for micro, small, medium-sized and large undertakings or groups

New Commission Delegated Directive (EU) 2023/2775 as regards the thresholds of various indicators to define different sizes of undertakings and groups with respect to the Accounting Directive was published in the Official Journal (OJ) of the EU.
Specifically, the new Delegated Directive modifies the Accounting Directive to define new thresholds in balance sheet total and net turnover for purposes of the definition of micro, small, medium, or large undertakings and small, medium-sized, and large groups. The objective of the adjustment is to reflect the inflation in recent years and to enable firms to benefit from the adjustments as soon as possible which are decisive for the application of various Directive-related requirements. The following table depicts the new thresholds as they will apply from January 1, 2024:
Table 1 – New thresholds for undertakings and groups in relation to balance sheet total and net turnover

Also, the thresholds that member states may set for small undertakings and small groups in terms of balance sheet total and net turnover are revised to not exceed EUR 7 500 000 and EUR 15 000 000, respectively.