The condensed annual financial statement (bilancio in forma abbreviata) allows smaller corporations in Italy to prepare their annual financial statements using simplified presentation requirements. The purpose of this regulation is to reduce administrative burdens. The requirements and simplifications are set forth in Article 2435-bis of the Italian Civil Code (Codice civile).
This option may be used if the company does not exceed at least two of the following three thresholds in its first financial year or in two consecutive financial years:
Compared to the ordinary annual financial statement (bilancio ordinario), the condensed annual financial statements provide for various simplifications:
In addition, under certain conditions, the management report (relazione sulla gestione) may be omitted if the information required by law is already included in the notes to the financial statements.