{"id":38516,"date":"2019-01-07T00:00:00","date_gmt":"2019-01-07T00:00:00","guid":{"rendered":"https:\/\/augustaabogados.com\/the-new-obligation-for-large-companies-to-disclose-non-financial-information\/"},"modified":"2024-02-06T11:08:10","modified_gmt":"2024-02-06T11:08:10","slug":"the-new-obligation-for-large-companies-to-disclose-non-financial-information","status":"publish","type":"post","link":"https:\/\/augustaabogados.com\/en\/the-new-obligation-for-large-companies-to-disclose-non-financial-information\/","title":{"rendered":"The new obligation for large companies to disclose non-financial information"},"content":{"rendered":"

A few days (and hours) before the change of the year, on 29 December 2018, the law implementing the Directive 2014\/95\/EU of the European Parliament and the Council of 22 October 2014 into Spanish law was published in the Spanish Official Gazette. This implementation, materialized in the Law 11\/2018, of 28 December, which amends the Commercial Code, the consolidated text of the Corporate Companies Act approved by Royal Legislative Decree 1\/2010, of 2 July, and Law 22\/2015, of 20 July, on Account Auditing, in matters of non-financial information and diversity<\/u><\/em>, which introduces some relevant changes in corporate companies\u0092 regulation.<\/p>\n

The main objective of the Directive is to ensure that Member States of the Union have adequate and effective means for the disclosure of non-financial information by certain companies. According to the Directive, obligated companies must provide in the financial statements of each year, adequate information on those aspects in respect of which, by reason of their business, there is a probability of materialising certain risks with serious effects of the market or society. However, because of the additional administrative burden of this obligations, this duty does not apply to every company, exempting small and medium-size companies, as defined in Article 3 of Directive 2013\/34\/EU of the European Parliament and of the Council of 26 June 2013, from this obligation.<\/p>\n

Consequently, the new Law 11\/2018 establishes that the Spanish companies obliged to prepare the Management Report must prepare and provide in said report a statement with non-financial information or a separate report with such information, provided that during two consecutive financial years at least, two of the following requirements are met:<\/p>\n