XBRL Mandate for Annual Financial Statements
In 2011, the Ministry of Corporate Affairs came up with their XBRL mandate. Companies falling under the set criteria need to file the data in annual report in XBRL format.
Over the years there have changes in the filing requirements, the taxonomy, and the business rules. The subsequent sections cover in detail the various aspects of the XBRL Mandate for financial statements.
1. Applicability
The XBRL mandate is applicable to companies following into either one of the following categories:
- Companies listed with any stock exchange(s) in India and their Indian subsidiaries; or
- Companies having paid up capital of INR 5 crores and above; or
- Companies having turnover of INR 100 crores and above; or
- Companies who were required to file their financial statements in XBRL for FY 2010-11
There are certain categories of companies, who are currently exempted from filing in XBRL till further orders
- Banking companies
- Power companies, and
- Non-Banking Financial Companies (NBFCs)
- Housing Finance Companies
2. Filing Due date
Companies have to file their financial statements in XBRL within 30 days from the date of their Annual General Meeting (AGM) post which it may draw additional fee/ penalty.
3. Taxonomies applicable
The C&I Taxonomy 2015 is the latest version of taxonomy and needs to be referred for creating XBRL instance document. The C&I Taxonomy 2015 is based on Schedule III as per new Companies Act, 2013. The latest taxonomy is significantly different in terms of its architecture and the content, compared to the taxonomy used by C&I entities for filing their Balance Sheet and Profit and Loss Account for the financial year 2010-11.
To know more about C&I Taxonomy, click here
To access the C&I Taxonomy and other supporting material, click here
4. Scope of tagging
As the annual report contains large amount of information and XBRL being new to most of the entities, MCA adopted a phased approach. The scope of tagging and level of tagging (i.e. detailed and text block) was specified, and has been gradually increased since 2011. Essentially there are two levels in tagging
- Detailed tagging - Every piece of information needs to identified and included in the XBRL instance document
- Text block tagging - The bunch of information can be considered as one block and be included a block in the instance
For MCA filing, all the data in the financial statements and notes to accounts, is to be tagged in detail. The descriptive texts are generally to be tagged as text blocks.
To read more about scope of tagging, click here
5. Tagging Standalone and Consolidated values
The holding or parent companies need to prepare XBRL instances for both consolidated values as well as standalone figures. Separate instances are to be created for standalone and consolidated numbers.
6. Business rules
To ensure correctness of data, there were many business rules defined. Business rules are set of validation rules which an instance document has to comply with before filing the documents with MCA. Business rule document gives various categories of rules and exemptions to the rule. The tool for validation of business rules is provided by MCA.
The business rules can be classified as
| Category | Description | Examples |
| Generic business rules | The rules which are defined at high level without specifying any elements. For certain generic rules, exemption list is mentioned as well. |
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| Element specific rules | The rules which will check the elements which are specified. It covers the elements which are mandatory to be reported, the range of value expected and correlation with other fact values, if any |
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To access the latest business rules document, click here To download the MCA validation tool, click here
7. Product and Service Identification Codes
Companies need to provide details of its products and services. Each of the major product and service is to be identified uniquely. For this purpose, the NPCS and ITC HS codes issued by Ministry of Statistics & Programme Implementation, Government of India are to be followed.
To access the code list, click here
XBRL Mandate for Cost Audit and Compliance Report
In 2012, the MCA issued the mandate for submission XBRL data for operational level information viz. product and service costing related information. The companies falling under the specific criteria hence are required to file their cost audit report and compliance report in XBRL format. This is one of the first XBRL implementations across globe for cost related information.
Over the years there have been changes in the filing requirements, the taxonomy, and the business rules. The subsequent sections cover in detail the various aspects of the XBRL Mandate for financial statements. To read more and to get access the latest taxonomies and other information, click here
1. Applicability
As per the Companies (Cost Records and Audit) Rules, 2014 and Companies (Cost Records and Audit) Amendment Rules, 2014,
- Cost Audit is applicable to companies engaged in the production of such prescribed goods or providing prescribed services as specified in the rules.
- These prescribed Products or Services could either fall under Regulated Sectors or Non-regulated Sectors. The turnover for the immediately preceding Financial Year needs to be checked as per following criteria.
| Sr.no | Regulated Sectors | Non-Regulated Sectors |
| 1. | Gross Turnover of Companies covering products & services Rs.50 Cr. And | Gross Turnover of Companies covering products & services INR. 100 Crores And |
| 2. | Turnover of individual products / Services covered for Maintenance of Cost Records – INR. 25 Crores | Turnover of individual products / Services covered for Maintenance of Cost Records – INR. 35 Crores |
To read more about the applicability, the regulated and non-regulated sectors, click here
2. Filing Due date
Companies have to submit their cost audit report and compliance report in XBRL within 30 Days from the date of receipt of a copy of the cost audit report from the Cost Auditor.
3. Taxonomies applicable
The Costing Taxonomy 2015 is the latest taxonomy version and needs to be referred for creating XBRL instance document. The taxonomies are developed to incorporate the requirements as per Companies (Cost Records and Audit) Rules, 2014
To know more about Costing Taxonomy, click here
To access the Costing Taxonomy and other supporting material, click here
4. Scope of tagging
A cost audit report and compliance report has certain data which goes down to every product or service level, while there are some pertaining to the company as a whole. Same principle is to be followed while creating XBRL documents. The Costing Taxonomy is designed to allow capturing granular data and for any number of products and services.
There are very few descriptive details in these reports which need to be tagged as text blocks.
5. Cost Audit and Compliance Report
As cost audit report and compliance report are two independent reports, the XBRL instances for these are to be created separately. The Costing Taxonomy has separate entry-points for Cost Audit and Compliance report. These need to be referred while creating the XBRL instance documents.
6. Business rules
Business rules are set of validation rules which an instance document has to comply with before filing the documents with MCA. Business rule document gives various categories of rules and exemptions to the rule. There are separate set of rules for Cost Audit Report and Compliance Report. MCA provides the tool for validating business rules.
The business rules can be classified as
| Category | Description | Examples |
| Generic business rules | The rules which are defined at high level without specifying any elements. These are same for Cost Audit and Compliance Report Additionally list of Applicable Extended Links (or groups) is specified and the rules are limited to these ELRs only. |
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| Element specific rules | The rules which will check the elements which are specified. It covers the elements which are mandatory to be reported under certain conditions, the range of value expected and correlation with other fact values, if any There are separate set of rules for Cost Audit Report and Compliance Report. |
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| Mandatory Items |
The elements which are necessary to be reported in XBRL instance document.
There are separate set of rules for Cost Audit Report and Compliance Report. |
|
To access the latest business rules document, click here To download the MCA validation tool, click here
7. Product and Service Identification Codes
The XBRL documents for cost audit and compliance report are expected to include data for every product and service level. Hence there is a need for uniquely identifying each product and service. CETA codes are to be used for products. For services, as of now there are no fixed codes provided.