Guidance on the Application of the Chart of Accounts for Central Counterparties (CCPs)

Pursuant to Article 15, Point 7 of the Act on the Croatian Financial Services Supervisory Agency (Official Gazette, Nos. 140/05 and 12/12), the Croatian Financial Services Supervisory Agency, at a meeting of its Management Board held on 13 January 2022, adopted the GUIDANCE ON THE APPLICATION OF THE CHART OF ACCOUNTS FOR CENTRAL COUNTERPARTIES (CCPS)

1. INTRODUCTION This Guidance specifies the method for applying the chart of accounts prescribed by the Regulation on the structure and content, submission method and deadlines for annual financial reports and audit report, as well as the application of the chart of accounts for central counterparties (Official Gazette No. 77/2019; hereinafter: Regulation).
2. MAINTENANCE OF ACCOUNTING RECORDS CCPs are required to maintain accounting records, business documentation and other registers in a manner that enables verification of whether the CCP operates in compliance with applicable regulations and industry standards, using accounts at least to the extent specified by the chart of accounts prescribed in the Regulation. CCPs may for their own needs additionally prescribe accounts within certain accounts specified by the Regulation.
3. APPLICATION OF THE CHART OF ACCOUNTS CCPs are required to apply the prescribed chart of accounts in accordance with this Guidance when maintaining the general ledger for transactions conducted by the CCP on its own behalf and for its own account, or for all transactions included in the CCP's balance sheet. CCPs prepare financial and supplementary reports submitted to the Croatian Financial Services Supervisory Agency (hereinafter: Hanfa) based on accounting records, applying accounts prescribed by the Regulation and this Guidance.
4. CONTENT OF ACCOUNTS IN THE CHART OF ACCOUNTS 4.1. GENERAL NOTES In auxiliary accounting records, the CCP must ensure the recording of all other data arising from disclosure requirements of applicable International Financial Reporting Standards (IFRS) or required for preparing other reports stipulated by Hanfa. This Guidance clarifies the classification of certain accounting items derived from the content and function of accounts prescribed by the chart of accounts, while recognition and measurement requirements are governed by relevant IFRS. The function and content of accounts in the CCP chart of accounts are specified below.

2 CLASS 0 – NON-CURRENT ASSETS On account groups of this class, non-current intangible and tangible assets in use and under preparation, as well as investments in joint ventures, subsidiaries and associates are presented. Furthermore, this class presents investments in property in accordance with IAS 40 Investments in Property. GROUP 00 – INTANGIBLE ASSETS Within account group 00, the cost of investments in non-current intangible assets, accumulated depreciation and impairment losses of such assets are presented. Accounts 000 to 004 record the value of assets that, in accordance with International Financial Reporting Standards, can be considered non-current intangible assets. GROUP 01 – NON-CURRENT TANGIBLE ASSETS Accounts of group 01 present non-current tangible assets in accordance with IAS 16 Property