CFTC Form 1-FR-IB Instructions - National Futures Association

FORM 1-FR-IB
Instructions
Statement of Financial Condition - Liabilities
Page 5-10.
STATEMENT OF FINANCIAL CONDITION - LIABILITIES
Line 14. - Loans Payables
Report here bank loans. A loan is considered adequately
collateralized if, pursuant to a legally enforceable written
instrument, the loans are secured by identified assets that are
otherwise unencumbered and the market value of which exceeds the
amount of the loan.
Report on this line overdrafts in accounts which are not
offsettable against other accounts at the same bank (see instruction
for line 1 -- Overdrafts).
Line 15. - Amounts owed futures commission merchants and other brokers
Report on this line all amounts owed to FCMs and other brokers.
Include net liquidating deficits in trading accounts with FCMs and
brokers.
Line 16. - Accounts payable, accrued expenses and other payables
Report on this line in the appropriate category, the total
accounts payable, accrued liabilities, expenses, and all other such
liabilities of the IB not previously reported.
Line 16.A. - Accounts payable and accrued expenses
Report all accounts payable, accrued expenses, and such other
liability items not classified elsewhere.
Accruals should be made for liabilities which would result
from guarantees or contingencies when occurrence of a loss is
probable, and the amount can be reasonably estimated.
Line 16.B. - Salaries, wages, commissions and bonuses payable
Include here the accrual for earned but unpaid salaries, wages,
commissions, and any declared but unpaid bonuses.
Line 16.C. - Taxes payable
Report here estimated accruals for federal, state, and local
income taxes. Payroll taxes withheld but not yet deposited and
the IB's portion of accrued payroll taxes should be reported on
this line.
Line 16.D. - Deferred income taxes
Report here the deferred tax liability accrued due to timing
differences in reporting net income between the firm's books and
its income tax returns. In some instances the deferred tax