XBRL Data Conversion Services
What is Xbrl?
(Extensible Business Reporting Language) is a language for the electronic communication of business and financial data revolutionizing business reporting around the globe. XBRL is a member of the family of computer languages based on XML (Extensible Markup Language), which is a standard for the electronic exchange of data between businesses and on the internet. Under XML, identified tags are applied to items of data so that they can be processed efficiently by computer software.
Benefits of Xbrl Reporting
XBRL reporting system has revolutionized financial reporting, and also use of those reports by the Stakeholders. Merits of it can be summarized as follows;
1. Interactive data will make it possible for investors and other external users to make more productive decisions. In spite of wading through incomprehensible financial disclosure, investors can be accessible to meaningful information in a form which is more suitable for them.
2. From the accountants’ point of view, it will enable them to draw-up error-free accounts. Since accounting data are mapped into some recognized taxonomy, all errors are to be sorted out at this stage.
3. Auditors can detect errors in tagging financial data with the help of available application software. Adoption of XBRL will significantly lower both internal and external audit costs.
4. Motives of any taxation system are accuracy and traceability based on calculation, and compliance of various rules and regulations. The accuracy will be provided by unambiguous data point definition as well as well-defined sources of the information. Since most of the values used to calculate and report taxes are, in turn, derived, capabilities of the compliance system to trace such values all the way to the original or atomic information elements is necessary. Finally, if the business rules and formulas used to assess taxes are documented, coded and understood, it is relatively straightforward to predict tax liability where and when a business transaction is occurring.
5. Real time analysis will help internal management to assemble reports for immeasurable variety of internal management decisions.
6. XBRL is an open technology standard for reporting and analyzing business and financial information, Software agnostic, or independent, accounting framework neutral
7. XBRL is not a standardized chart of accounts, a way to require the reporting of prescribed information, a transaction level activity (though it can summarize general ledger transactions)
8. XBRL delivers major benefits at all stages of business reporting and analysis by way of automation, cost saving, faster, more reliable and more accurate handling of data, which in turn contributes in improved analysis and in better quality of information and decision-making.
9. XBRL enables users of financial data to switch resources away from costly manual processes, typically including time consuming comparison, assembly and re-entry of data. They are able to concentrate effort on analysis, aided by software which can validate and manipulate XBRL information. For example, information search which would otherwise have taken hours can be completed with XBRL before one blinks his eye.
Steps Involved in Implementing the Xbrl Project
- define requirements towards future reporting platform
- analyze them regarding their fulfillment when XBRL is used
- what are the driving forces of XBRL implementation
- changes in legal regulations
- technical issues
- international adoption
It offers major benefits in the preparation, analysis and communication of business information. It provides cost savings, greater efficiency and improved accuracy and reliability to all those involved in supplying or using financial data.
Steps Involved in Filling of Accounts in Xbrl:
Step 1 – Mapping, Creation, Review & Verification of XBRL instance document
Step 2 – Download XBRL validation tool from MCA Portal
Step 3 – Validate the instance document by using the validation tool
Step 4 – Pre-scrutinize the validated instance tool
Step 5 – Attach instance document with Annual filling forms
It has already been confirmed that XBRL is versatile and very much useful for financial and business analysis to the investors and other stakeholders. Based on its success story, all the countries are coming forward to embrace this reporting language. Many countries have made its application compulsory, and others are in the pipeline. In the coming few years it is going to be adopted by all the countries. Though India has made a delayed entry, still she is moving at a faster rate to catch up with others. The accountants in India will have to make themselves ready to take the challenges of introduction of XBRL in India.
What VJM & Associates Offers
We offer a complete range of XBRL generation services to corporations, mutual funds, financial printers and filing agents. Our customers derive benefit from our proven service process to prepare and file the highest quality XBRL documents. With over a decade of experience offering services to global customers, well qualified, trained and experienced accounting professionals along with the technical experts in the core conversion team is the strength of this organization. Our expertise with XBRL, XML and document parsing technologies has made it possible for us to be a dependable partner.
Through our services, we facilitate the integration of our XBRL tools within an organization. Additionally, our extensive experience of data tagging services has enabled us to evolve robust processes to help customers abstain the typical pitfalls of XBRL implementations.
From training to XBRL validation, our services help address each phase of the XBRL lifecycle. Below, there is a list of the primary services we offer.
- Mapping up financial statements with XBRL tags
- Validation for tags and appropriate calculations
- Preparation of XBRL instance document in XML format for e filling
- Creation of extended taxonomy as necessary
- Provision of a “highlight” report to facilitate review and provide concurrence on
- Tagging decisions that require concurrence
- Labels added that require concurrence
- Rendering of XBRL instance document in readable form.
- E-filing XBRL data with respective Regulatory Authorities viz MCA, SEBI, Stock Exchanges, RBI,
- Mutual Fund Associations etc.
- We accept input data in any simple format that you currently have available (PDF/Excel/Word/any other), removing any need to change your existing financial systems.
- We map financial reports as per the latest MCA-approved Taxonomy.
- The financial data is tagged.
- The reports are then converted to XBRL ‘Instance’ documents. The Taxonomy and Instance documents together form the XBRL package.
- The validated XBRL package is delivered to you.
Why Outsource to Us?
- We leverage our decades of expertise in financial reporting and digital content transformation, to simplify your XBRL compliance.
- Our engagement model is simple and transparent. Conversion services are priced per file or page.
There is no need to modify your current financial systems – we welcome data input in a wide variety of common formats like PDF, Excel, Word, CSV etc.
- We ensure quality, along with short turnaround times. Our facility is ISO and ISMS certified.
- The minimum indicative price is around Rs. 20000/- to 45000/- per Annual Report. For final pricing please submit Annual Report (PDF, Word or Excel) for previous year or if present year Balance Sheet is ready then for present Year.
We manage all elements of your XBRL compliance, assuring that you do not have to invest in high-priced software or manpower. And “To achieve competitive advantage by rapidly providing cost-effective, advanced, high-end technology enabled value-added business solutions