Option 1
Option 2
Interpretation: Includes subsidiary members’ remuneration charged as an expense.
Implications:
Reflects a more comprehensive view of the group’s total remuneration costs.
Aligns with the requirement that group accounts should comply with Schedule 1 provisions of the Companies Act as if the undertakings were a single LLP.
This approach may provide greater transparency but could complicate the parent LLP’s financial reporting.
Interpretation: Only includes amounts payable to members of the parent LLP.
Implications:
Subsidiary members’ remuneration is treated as a staff cost or interest cost in the parent LLP’s consolidated accounts, unless the member is also a member of the parent LLP.
This approach may simplify the parent LLP’s financial statements but could obscure the total remuneration costs within the group.
Option 1
Option 2