• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
XBRL in India
 

XBRL in India

on

  • 2,236 views

This presentation was given at Ellisbridge and Navjeevan Study Circles at Ahmedabad covering XBRL implementation issues in India.

This presentation was given at Ellisbridge and Navjeevan Study Circles at Ahmedabad covering XBRL implementation issues in India.

Statistics

Views

Total Views
2,236
Views on SlideShare
2,229
Embed Views
7

Actions

Likes
0
Downloads
109
Comments
1

3 Embeds 7

http://mamtabinani.me 4
http://www.linkedin.com 2
http://a0.twimg.com 1

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel

11 of 1 previous next

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
  • XBRL Conversion Services for just Rs.4000/-
    Visit this link:
    http://www.slideshare.net/shahnarendrab/profile-xbrl-experts
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    XBRL in India XBRL in India Presentation Transcript

    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • Lets Watch…
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • What you understand from this Video ????
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Now see this Video…..
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • Can we understand
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Before XBRL
      Financial Report -1
      Regulators (Eg. ROC, SEBI, Stock Exchanges)
      Financial Report -2
      Management
      Financial Report -3
      Bank & Fin. Institute
      Financial Report -4
      Foreign Regulators
      Financial Report -5
      Other Stakeholders
      Different reporting format for different users
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • After XBRL
      XBRL
      Regulators (Eg. ROC, SEBI, Stock Exchanges)
      Management
      Bank & Fin. Institute
      Financial Reporting
      Foreign Regulators
      Other Stakeholders
      Only single reporting format for all users
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL Smart Intro
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL History
      1998 
      April - Charles Hoffman, a CPA investigates how XML could be used for electronic reporting of financial information.
      July - AICPA is Alerted   Charlie Hoffman informs the AICPA High Tech Task Force about the potential of using XML in financial reporting.
      September - Product Description Crafted  
      October - The AICPA decides to fund a project to create a prototype set of financial statements in XML.
      December - Prototype Completed   The prototype is completed by Charlie Hoffman and Mark Jewett (Erutech). Jeffery Ricker (XML Solutions) contributes to the initial prototype.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • What an Idea Sir Ji….
      In 1997, XBRL began with the idea of a single individual - Charlie Hoffman, from a small CPA firm in Tacoma, Washington …
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL International
      • XBRL International is a not-for-profit consortium of approximately 650 companies and agencies worldwide working together to build the XBRL language and promote and support its adoption.
      • 25 established Jurisdictions including India
      • 4 Provisional Jurisdiction.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL India Jurisdiction
      On Jan-2011 XBRL International admitted India as full member.
      XBRL India is a Company registered under Section 25 of Companies Act, 1956, incorporated for
      managing the affairs of Indian Jurisdiction of XBRL International.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL India Jurisdiction Member
      The Institute of Chartered Accountants in India
      Associated Chambers of Commerce and Industry of India
      Bombay Stock Exchange Ltd
      Comptroller and Auditor General of India
      Confereration of Indian Industries
      i-flex Solutions Ltd
      ICICI Bank Ltd
      Infosys Technologies Ltd
      Insurance Regulatory and Development Board (India)
      Ministry for Corporate Affairs (India)
      Ministry of Communication and Information Technology (India)
      National Stock Exchange of India
      Reserve Bank of India
      Securities and Exchange Board of India
      Tata Consulting Services
      VatasInfotechPvt Ltd
      Wipro Ltd
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • ICAI Initiatives on XBRL
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL is….
      • eXtensible Business Reporting Language
      • Open technology standard for reporting and analyzing business and financial information.
      • Computer readable language.
      • royalty free to use
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL is not…..
      standard chart of accounts
      way of reporting of specific information
      only for financial reporting
      require us to report more information
      too complicated to use or to understand
      GAAP translator
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • How it Works
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • The User View
      XBRL is similar to use of bar codes
      Similar to bar code, XBRL data can automatically identify each data information, such as Value, type, currency, date, sources, etc.
      Instead of treating financial information as a static text…
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • The User View Cntd……
      XBRL tags are defined and maintained in taxonomies.
      Taxonomies are basis for tagging financial information in XBRL.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • How User can use XBRL
      Requirements :
      XBRL-enabled software and
      XBRL-coded or "tagged” documents.
      A tag is a string of computer code that represents one concept
      Eg. All Companies having same terminology to identify “Total Assets”, Revenue, Cost of Goods, etc..
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • How User can use XBRL
      A collection of tags is called taxonomy.
      Similar to a dictionary, it specifies the tags (words) to be used, their meaning, their definitions (types of data, structure, and relation to each other) and the relevant rules and formula sets.
      data can be collect from many documents in different locations and reassembled into a document.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Technology View
      Above said simple process is made possible only by incorporation of various elements on a technology platform.
      Before understand any more in XBRL, You mush aware about:
      XBRL Taxonomy
      XBRL Tools
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Benefit of XBRL
      Better Accuracy
      As data need not be re-entered, the possibility of error is reduced.
      Better Data management
      Time Saving
      Reusing Data
      Data Validation
      Easier document reading
      Transparency
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • ICAI on XBRL
      ICAI launched XBRL India website on July 3-5, 2009 at International Conference , Agra
      ICAI has developed taxonomy based on Indian GAAP for:
      Commercial and Industrial (C&I) taxonomy
      Banking taxonomy
      Taxonomy for Non-Banking Financial Companies
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Technical Terms in XBRL
      Taxonomy
      Tag
      Elements
      Label
      Instance Documents
      Metadata
      XBRL GL
      Validation
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Taxonomy
      Collection of Tags
      A type of dictionary for financial reporting.
      These taxonomies define the specific tags for individual line items of financial statement.
      The taxonomy schema files together with the relationships files define the concepts (elements) and relationships that form the basis of the taxonomy.
      Different core taxonomy exist for IN-GAAP, IFRS, US-GAAP, RBI, etc
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Taxonomy document consists
      Schema file containing the definition of concepts used in the business report (.xsd file)
      XML file containing relationship between concepts (.xml file)
      Definition
      Presentation
      Calculation
      Labels
      Resources
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Tag
      Identifying information that describes a unit of data in an instance document and encloses it in angle brackets (<> and ). All facts in an instance document are enclosed by tags that identify the element of the fact.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Elements
      A human-readable description of a reporting concept.
      User point of view the definition is an unchangeable attribute of the element
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Label
      Human-readable name for an element; each element has a standard label that corresponds to the element name, and is unique across the taxonomy.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Instance document
      XML file that contains business reporting information and represents a collection of financial facts and report-specific information using tags from one or more XBRL taxonomies.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Validation
      Process of checking that instance documents and taxonomies correctly meet the rules of the XBRL specification.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • DEVELOPMENT OF XBRL TAXONOMIES
      General Purpose Financial Reporting XBRL taxonomy for Commercial and Industrial Companies C&I taxonomy
      • To begin, the XBRL India jurisdiction has developed the general purpose taxonomy
      • The draft general purpose taxonomy which was exposed for public comment, has been finalised on the basis of comments expected to be sent shortly to XBRL International for accreditation will be released for use in India.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • DEVELOPMENT OF XBRL TAXONOMIES
      General Purpose Financial Reporting XBRL taxonomy for Commercial and Industrial Companies C&I taxonomy
      • To begin, the XBRL India jurisdiction has developed the general purpose taxonomy
      • The draft general purpose taxonomy which was exposed for public comment, has been finalised on the basis of comments expected to be sent shortly to XBRL International for accreditation will be released for use in India.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • DEVELOPMENT OF XBRL TAXONOMIES (contd…)
      • Scope of C&I taxonomy
      • Financial statements-Balance Sheet, Statement of Profit and Loss & Cash Flow Statement Related non-financial information, e.g., disclosures required in notes to accounts, additional disclosures required under company law
      • Features of C&I taxonomy
      • Based on Indian Accounting Standards Conforms with requirements of Indian Company Law and SEBI Regulations Adopts architectural features of the IFRS general purpose taxonomy
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Benefitted to Whom
      Companies
      Investors
      Regulators
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Based on XML
      XML
      XML is a standard language which is maintained by the World Wide Web Consortium (W3C).
      XML does not replace HTML
      It enables rich, structured data to be delivered in a standard, consistent way.
      XML provides a framework for defining tags (i.e. taxonomy) and the relationship between them (i.e. schema).
      XBRL
      XBRL builds upon XML,
      XBRL is also extensible in that users are able to create their own XBRL taxonomies that define and describe tags unique to a given environment.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • How different is HTML –
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • The motto of HTML is: "I know how it looks", whereas the motto of XML is: "I know what it means, and you tell me how it should look.”
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • Tag
      Unit/ Currency
      Value / Datatype
      Prefix
      Element Name
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Advantages of XML
      XML is not a limited set of tags defined by proprietary vendors.
      Rather than waiting for standards bodies to adopt tag set enhancements (a process which can take quite some time), or for browser companies to adopt each other's standards (yeah right!), with XML, you can create your own set of tags at your own pace.
      Of course, not only are you free to develop at your own pace, but you are free to develop tools that meet your needs exactly.
      XML allows each specific industry to develop its own tag sets to meet its unique needs without forcing everyone's browser to incorporate the functionality of zillions of tag sets, and without forcing the developers to settle for a generic tag set that is too generic to be useful.
      Machine-readable context information 
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL and Financial Reporting
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • To make this data interactive, the registrant will use software to affix an XBRL tag to each number on the balance sheet.
      For example, the tag affixed to the $100 “Cash” amount will have a descriptive name, such as “Cash.” Once the tag is affixed, any software capable of reading XBRL will be able to determine that the $100 amount represents cash, which is a current asset, and that the $100 amount rolls up into the “Total Current Assets” and “Total Assets” subtotals. The tag also provides a definition, the currency in which the amount is being reported (e.g., the U.S. dollar or the euro), and the related period for which the amount is being reported (e.g., as of December 31, 2008).
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • 1st Step – Download taxonomy & Tagging Software
      Download taxonomy
      Download XBRL Tagging Software
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • 2nd Step – Tagging/Mapping
      Open Excel file you wish to tag.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Mapping…..
      Mapping means:
      Put XBRL taxonomies against Financial Statements line items.
      Here is the Snap Shot of Mapped Financial Statement in Excel.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Financial Statements’ Line Items
      Taxonomies
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • 3rd Step - Validation
      Process of checking that instance documents and taxonomies correctly meet the rules of the XBRL specification.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Steps to prepare XBRL based report
      Generating financial statement is what we are doing till now.
      Mapping line items of financial statements with taxonomies.
      After mapping, certain line items may remain unmapped.
      For unmapped line items, new line items need to be added to the base taxonomy.
      If new line items are calculated accounts, corresponding calculation logic needs to be added to the extended taxonomy .
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Extended Taxonomy
      Public taxonomies cannot always meet the precise needs of every individual financial report.
      For this reason, XBRL is designed to be extensible, allowing preparers to create an extension taxonomy that adds to the public taxonomy.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Methods to create Extended Taxonomy
      Creating an extension taxonomy is done differently in different software products
      Name of extension files should conform to standardfile name conventions.
      Contain the date of the end of the latest reporting period in the filing.
      The extension taxonomy has a unique namespace, which looks like a web address although it is not. Eg. http://xbrl.ABC.com/2012‖.
      Every element has a Universal Resource Identifier (URI) that identifies the organization that maintains the element definitions, with an indication of what the term covers. In the XBRL US GAAP Taxonomy, namespaces start with http://xbrl.us/us-gaap/. A namespace prefix is not the namespace.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Tags can be applied not only to amounts but also to nonmonetary financial concepts.
      The collection of XBRL tags forming the US GAAP Taxonomies has been modeled to accommodate all amounts and disclosures that must be reported under U.S. GAAP (i.e., if presentation of a financial number or disclosure is required under U.S. GAAP, a corresponding tag for that item most likely will exist in the taxonomies).
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Tagging of notes
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL Software
      (Sources: www.xbrl.org/tools )
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • RBI on XBRL
      RBI adopted XBRL for Online filing of return to standardize business reporting, especially financial reporting.
      At present OFRS is implemented for host return such as Section 42(2) Form – A , daily return Gap, Position and Balances (GPB) and . RCA
      RBI launched XBRL standard for Basel – II reporting system using XBRL through the existing Online Return Filing System (ORFS) on October 6, 2008.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • SEBI on XBRL
      The SEBI has introduced Clause 52 in the equity listing agreement, requiring listed companies to file information with the exchange only through Corporate Filing and Dissemination System (CFDS). CFDS is the portal put in place jointly by BSE and NSE and offers a XBRL-enabled common platform for listed companies to file such information, statements and reports as may be specified by BSE and NSE
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • CA Sandesh Mundra, sandeshmundra@gmail.com
    • MCA on XBRL
      MCA issued Circular no. 09/2011, dated 31-3-2011:
      Following companies are required to file their balance sheet and profit and loss accounts in XBRL mode on or before 30-9-2011.
      All companies listed in India and their subsidiaries including overseas subsidiaries.
      All companies having paid up capital of Rs. 5 Crore and more or turnover of Rs. 100 Croreand more.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Current Situation in India
      Rules pending to be notified
      No details of platform are available
      Whether full balance sheet or only first page
      Notes to accounts ?
      Comments on draft !!!
      Options available
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Singapore – http://www.bizfile.gov.sg/
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XML like Income Tax India
      Manual tagging in Excel Sheet
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • XBRL - Mantra
      • XBRL mantra – “better, faster, cheaper”
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Auditors’ roles in XBRL environment
      Auditors’ role dose not change whether financial statements in manual or electronic form.
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Scopes for the professionals
      The gradual adoption of XBRL as a medium of financial reporting has received considerable support from regulatory authorities, internationally.
      As regulatory requirements take further shape in India, each Company will be faced with the following challenges.
      To assess the XBRL reporting requirements
      To identify XBRL tools best suited to its processes and environment
      To identify appropriate XBRL taxonomies and explore the need for extensions
      Developments for new taxonomies
      CA Sandesh Mundra, sandeshmundra@gmail.com
    • Question
      CA SandeshMundra
      Email: sandeshmundra@gmail.com
      Web: www.smaca.in
      CA Sandesh Mundra, sandeshmundra@gmail.com