What is the content of the Communication?
The Communication contains the Commission’s proposals that are based on the outcome of the review of the directives in the fields of company law, accounting and auditing. In company law the Communication outlines two approaches. The first option would limit European legislation to matters that have cross-border relevance, e.g. registration of companies and branches, cross-border mergers, European Company. The directives that cover mainly domestic situations (e.g. Third Company law Directive on domestic mergers, Second Company law Directive on companies’ capital) would be repealed. The second option is a more detailed approach that would allow the analysis of individual provisions in the directives (e.g. reporting requirements in the case of a merger or a division) and would offer possibilities of simplification, repeal or introduction of alternative provisions. In accounting and auditing the focus of the Communication is on reducing costs for SMEs.
