CONVERSION OF FINANCIAL STATEMENTS INTO XBRL
(XBRL FILING) AS PER IND-AS
XBRL (eXtensible Business Reporting Language) is a language for the electronic communication of business and financial data. The Ministry of Corporate Affairs, Government of India, has required certain classes of companies to file their financial statements in XBRL form only from the year 2010 – 2011 which are as follows;
- All companies listed in India and their Indian subsidiaries;
- All companies having a paid up capital of INR. 5 Crore and above; and
- All companies having a turnover of INR. 100 Crore and above.
- All companies which are required to prepare their financial statements in accordance with Companies (Indian Accounting Standards) Rules, 2015.
Applicability of IND-AS:
As per the rule 4 (1) (ii) of the Companies (Indian Accounting Standards) Rules, 2015, the following Companies shall comply with the Indian Accounting Standards (Ind AS) for the accounting periods beginning on or after 1st April, 2016, with the comparatives for the periods ending on 31st March, 2016, or thereafter, namely;
- Companies whose equity or debt securities are listed or are in the process of being listed on any stock exchange in India or outside India and having Net worth of INR. 500 Crore or more;
- Companies other than those covered by sub-clause (a) of clause (ii) of sub- rule (1) and having net worth of INR. 500 Crore or more;
- Holding, subsidiary, joint venture or associate Companies of Companies covered under rule 4 (1) (ii) (a) and (b) above as the case may be;
As per the rule 4 (1) (iii) of the Companies (Indian Accounting Standards) Rules, 2015, the following Companies shall comply with the Indian Accounting Standards (IND-AS) for the accounting periods beginning on or after 1st April, 2017, with the comparatives for the periods pending on 31st March, 2017, or thereafter, namely;
- Companies whose equity or debt securities are listed or are in the process of being listed on any stock exchange in India or outside India and having Net worth less than of INR. 500 Crore or more;
- Companies other than those covered in rule 4 (1) (ii) and sub-rule (1) (iii) (a), that is, unlisted Companies having net worth of INR. 250 Crore or more but less than INR. 500 Crore;
- Holding, Subsidiary, Joint Venture or Associate Companies of Companies covered under rule 4 (1) (iii) (a) and (b) as the case may be.
LEGALRAJ will professionally assist you in XBRL reporting of the Financial Statements of your Company. The average time taken to complete XBRL reporting is about 7 to 10 working days, subject to submission of necessary information and documents required by us from the client.
Features of IND-AS XBRL reporting of Financial Statements:
1. Complex Data Management: It could be considered that organizations that have one standard chart of account which can do data management once for all reporting entities. However, if the company acquires a new entity it will take time before the standard chart of accounts is implemented. These complexity and variety problems are solved with the use of XBRL. XBRL allows the abstraction of complex data models from the data itself. XBRL requires a feeding of financial information only once and rest of the data management is automatically done by the software itself.
2. Smart auto tagging of financial data: XBRL is the standard way to communicate business and financial information. It gathers financial information and represents the smartly tabulated and tagged data in easily representable and analyzable manner so as to derive exact conclusions and to take informed and clever financial decisions in your business. Therefore, XBRL provide better information which leads to better management and better governance which creates better market.
3. Fastest Analytical Tool: To make analytics more meaningful, data visualization is the key. Data visualization refers to the graphical or pictorial representation of the data. It helps to understand the huge amount of data and get an insight from what could even be terabytes of data. Banks and financial institutions can efficiently analyze the financial position of the Companies with the help of XBRL and thereby can take the most informed decisions which will be beneficial to their financial interest.
What will you receive in IND-AS XBRL conversion of Financial Statements package ?
- XML file of the financial statements
- XML file duly converter into PDF for your reconciliation
- Complete process of XBRL conversion assistance at a very reasonable cost
- End – to – end guidance
- Shift all your headache to us relating to Conversion and reporting of financials into XBRL.
What are the types of IND-AS XBRL conversion ?
There are mainly two types of XBRL conversion:
- 1. Normal XBRL conversion and reporting
- 2. IND-AS XBRL conversion and reporting
What is the process for IND-AS XBRL conversion of Financial Statements ?
Step 1: Receipt of inquiry from client
Step 2: We provide you the checklist of the details required
Step 3: You provide us with all the details and documents
Step 4: We start processing the documents and send the PDF files for your verification
Step 5: You confirm on the file or suggest changes, if any
Step 6: We provide you the finalized XBRL files for your records and further ROC filing
The entire process for registration of Company will take at least 7 to 10 working days.
What Documents are required for IND-AS XBRL conversion of Financial Statements ?
1. Full set of Financial Statements in word or excel format.
2. Form ADT-1 already filed by the Company and its paid challan.
3. Previous year’s XBRL file of the financial statements filed by the Company PAN card + Registration + MOA & AOA of the Company.