The 2004 Lloyd’s Accounts Regulations (
LLM2030) require the production of
underwriting year accounts. These are prepared on an underwriting
year basis and are therefore in much the same format as those
prepared under the previous three-year accounting system. The
underwriting year accounts remain the basis of the
syndicate’s tax computations, as they were under traditional
three-year accounting.
LLM2210 gives an example of underwriting
year accounts from 2005 onwards.
The profit or loss of the syndicate underwriting year is
declared by the managing agent in April/May of the underwriting
year following the closing year. The profit or loss of a
Lloyd’s underwriter is that declared in the underwriting
year. The declaration basis (
LLM4060 and
LLM5290) is unaffected by the move from
three-year accounting to annual accounting.
LLM2090 onwards explains the tax
treatment of certain items in syndicate accounts.
