Training Seminar

Revised XBRL Filing Requirements

And The BizFinx Filing System

Agenda

� Why XBRL?

� ACRA XBRL Revamp Milestones

� Revised XBRL Filing Requirements

� Minimum Requirements List and Mapping

Principles

� Validation Rules and Common Mistakes

� Available Support For Companies

2

What is XBRL?

� Stands for “eXtensible Business Reporting Language”

� Based on XML (eXtensible Mark-up Language)

� Fast becoming a global standard for the sharing of

financial data

� Provides an identifying ‘tag’ for each piece of financial

information - works like a barcode

� Allows information to be easily extracted and analyzed

� Using PDF financial statements vs using XBRL data

3

Source: http://www.xbrl.org/knowledge_centre/projects

XBRL – Global Movement

4

What is XBRL?CURRENT ASSETS

Assets Held for Sale 100,000

Construction in Progress,

Current100,000

Inventories 100,000

Other Financial Assets,

Current100,000

Hedging Instruments,

Current (Asset)100,000

Current Tax Receivables 100,000

Trade and Other

Receivables, Net, Current100,000

Prepayments, Current 100,000

Cash and Cash Equivalents 100,000

Other Assets, Current 100,000

Current Assets Total 1,000,000

Business Analytics Enabled Through XBRL - Unlimited Possibilities

� Automated and immediate availability of data after filing

� Trend analysis of individual company information

� Benchmarking against peers and industry median

6

Automated filtering of all public records

� Company Screener can filter all public records among

60,000 companies’ financial statements to find matches

that meet preferred criteria

Business Analytics Enabled Through XBRL - Unlimited Possibilities

200000000N ABC Limited 2012 Construction

199400000D XYZ Private Limited 2012 Construction

Source: Singapore Financials Direct by DP Bureau

7

Benefits of XBRL

Who benefits from using XBRL?

� Company directors

� Financial analysts

� Investors

� Creditors

� Financial information companies

� Accountants

� Auditors

� Government agencies

� Academia8

ACRA XBRL Implementation- The Next Phase

May - Jun 2012Jan – Apr 2012

o ACRA XBRL

revamp

commenced

o Needs

requirements

study

o Public consultation

for revised filing

requirements and

taxonomy

o Summary of

response published

in Nov 2012

Jan – Feb 2013

Focus groups

testing for

preparation tool:

�Accounting

firms

�Companies

�Corporate

secretarial firms

�Trainers

Mar – Apr 2013

Public

consultation on

usability

of BizFinx

preparation tool

2007

Launch of

XBRL (full and

partial filing

options)

9

Jun 2013

o Revised XBRL

filing

requirements

o Beta version of

new BizFinx

preparation tool

to allow

preparers to

familiarise

themselves with

the tool

2014

o Date for launch of online

BizFinx portal and revised

XBRL filing requirements will

be announced once it is

confirmed. At least two weeks

advance notice will be given

Aug 2013

o Updated

version of

prep tool

10

ACRA XBRL Implementation- The Next Phase

Nov 2013

o Updated

version of

prep tool,

including

changes to

address

feedback

received (e.g.

function to

convert excel

embedded

tables in

word)

Collect what consumers of

financial statements want for

analysis

� Feedback obtained through earlier

needs requirements study; and

� Elements to derive commonly used

financial ratios

Efforts required by preparers to

provide the data in XBRL

ConsumersConsumersPreparersPreparers

Increase the

breadth and

depth of XBRL

data

Facilitate the

preparation and

filing of XBRL

data

11

ACRA XBRL Implementation- The Next Phase

Revised XBRL Filing Requirements

� Singapore incorporated companies which are either

unlimited or limited by shares (unless exempted) will be

required to file a full set of financial statements in XBRL

according to a minimum requirement list within the

ACRA Taxonomy 2013

� Current filing option of partial XBRL (option B) will be

removed

� For financial statements with periods ending on or after

30 April 2007

12

Revised XBRL Filing RequirementsType of Company Filing of Financial Statements

Public / Private companies (limited/unlimited by

shares), except those under (a) and (b)

Full set of XBRL financial statements

(a) Specific companies, i.e. commercial

banks, merchant banks, registered insurers,

finance companies regulated by MAS

Financial statements highlights (FSH)(XBRL) + PDF

copy of financial statements

(b) Companies allowed by law to prepare

accounts in accordance with accounting

standards other than SFRS, SFRS for Small

Entities and IFRS

FSH (XBRL) + PDF copy of financial statements

Insolvent exempt private companies (EPCs) Option of:

- Full set of XBRL financial statements; or

- FSH (XBRL) + PDF copy of financial statements

Solvent EPCs Exempted from filing financial statements, but

are encouraged to file with following options:

- Full set of XBRL financial statements or

- FSH (XBRL)

Companies limited by guarantee PDF copy of financial statements

(XBRL filing not required)

Foreign companies and their local branches PDF copy of financial statements

(XBRL filing not required)

13

Changed

Revised XBRL Filing Requirements

� Around 60,000 companies file in XBRL currently

� Changes for companies against FS Manager XBRL filing

� Submit information using relevant fields in taxonomy instead of using

user-defined fields

� Submit information within up to 11 disclosure notes, where applicable

� Capturing more in-depth information for consumer of financial

information

� Submit a full set of financial statements in textual format, instead of

PDF format

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Revised XBRL Filing Requirements

� Minimum requirement list states the information that

must be filed in XBRL if the information is available in the

AGM financial statements

� If you have it, you will need to provide it

� If you have extra, you need not provide it

� Minimum requirement list

� Text block

� For full set of AGM financial statements

� Detailed information

� For certain sections indicated15

Minimum Requirement ListInformation Required Minimum Requirement List

Text block information • An entire set of financial statements submitted using a single text block element

Detailed information

(Statutory reports)

• Statement by directors

• Independent auditors’ report

Detailed information

(Primary financial

statements)

• Statement of financial position (note 1)

• Income statement (note 1)

• Statement of cash flows (note 2)

Detailed information

(Disclosure notes)

• Corporate and general information

• Trade and other receivables (note 1)(note 3)

• Trade and other payables (note 1)(note 3)

• Provisions (note 1)(note 3)

• Share capital (note1)(note 4)

• Revenue (note 1)

• Government grants (note 1)

• Employee benefits expense (note 2)

• Operating segments (note 1)

• Property, plant and equipment (note 1)(note 4)

• Selected income and expense (note 2)

Note 1: Preparers are required to submit the complete information or breakdown in accordance to the Minimum Requirement List for the section. Concepts for “others” may be available to facilitate the disclosure of full information or breakdown.

Note 2: Only selected elements are included in the Minimum Requirement List. Hence the completed elements do not have to sum up.

Note 3: Preparers are not required to provide the breakdown of the trade and other receivables, trade and other payables and provisions according to different classes of parties.

Note 4: In contrast to note 3, preparers are required to provide the breakdown into different classes for property, plant and equipment, and share capital.

(extracted from http://www.acra.gov.sg/XBRL+Revised+Filing+Requirements.htm)

Minimum Requirement List- Text Block

An entire set of AGM financial statements

• Directors’ report• Statement by directors•Auditors’ report• Statement of financial position; • Statement of profit or loss and other comprehensive income; • Statement of changes in equity; • Statement of cash flows; •All disclosure notes

17

Minimum Requirement List –Detailed Information Examples

18

19Non-applicable fields to

be left blank

Minimum Requirement List –Detailed Information Examples

Footnote for Revenue from rendering of services:

Revenue from rendering of services comprise trusteefees of $929,443 and commission income of$2,111,288.

Minimum Requirement List –Detailed Information Examples

20

Minimum Requirement List –Detailed Information Examples

21

Trustee activities

Investment activities

Total

22

RULE 1:

A line item within the AGM financial statements MUST be mapped to the relevant concept within the taxonomy when

they are equivalent in accounting terms.

23

RULE 2:

Line items within the AGM financial statements that represented sub-components of relevant concepts within taxonomy

MUST be aggregated together. A footnote SHALL also be created to explain the aggregation that was performed.

24

RULE 3:

When a line item within the AGM financial statements represents an aggregation of several concepts in the taxonomy,

the breakdown MUST be disclosed as required.

Where it is impractical or the breakdown is not disclosed within the AGM financial statements, the preparer SHALL map

the entire amount to one of the concepts that made up to the line item based on the best-fit principle.

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RULE 4:

Line item that does not have any linkages with any concepts within the taxonomy SHALL be classified under “others”

category in the respective sections of the financial statements, when it is available. A footnote SHALL also be created to

explain the breakdown of what has been classified under others.

Application of Rule 4

� “Others” items will be available for all templates except

for

� Statement of Cash Flows

� Selected income/expenses

� Employee benefit expenses

� If “others” items are unavailable, no need to provide

unlinked line items.

26

27

Validation Process

Validation rules

� Genuine errors

� Please rectify such errors before filing

� If XBRL data is correct, please seek exemption from specific business rules / XBRL filing

� Possible errors

� Please rectify if areas highlighted contains error

� If XBRL data is correct, you may ignore the possible error without changes required

� For complete list of business rules, please refer to http://www.acra.gov.sg/Bizfinx+help+and+resources.htm (Appendix B – List of business rules)

28

Validation rules – Examples

� Mandatory / Derived mandatory rules

29

� Rules to ensure correct submission of dates

30

Validation rules – Examples

� Rules to ensure disclosure of full set of financial statements

� Ensure that the full set of financial statements are submitted in text block

31

Validation rules – Examples

� Rules to check against information from prior period filing

� Check whether prior period values are provided correctly within XBRL file. If current values in prior XBRL filing is incorrect, please file NOE (for typographical/clerical errors.

32

Validation rules – Examples

� General checks across XBRL file

� Misc_040 � Ensure that the sum of child fields

are the same as total. (Eg. The difference between gross carrying amount of PPE and accumulated depreciation = Net carrying amount of PPE)

33

Validation rules – Examples

� General checks across XBRL file

34

Validation rules – Examples

� Depending on the FS of the company, exemption may be granted on a case by case basis

� File full XBRL with exemption from specific business rules (E.g. requirements for comparative periods)

� File FSH instead of full XBRL

� File FS in PDF

� Application for exemption is available through the BizFinx portal

35

Exemptions

Common mistakes in XBRL filing

36

Common mistakes Rectification

Using the incorrect level of rounding / presentation currency as compared to AGM accounts

Use the correct level of rounding / presentationcurrency

Incorrect selection of presentation format

Select the correct format. Please refer to FRS 1,FRS 7 and preparation tool for samples

Incorrect mapping of data Map data using taxonomy elements that are relevant. Refrain from using “others” items unless there is no related taxonomy element

Not updating dynamic company information(eg. Signing auditor / directors)

Preparers using prior period XBRL file as a reference should ensure data are updated

Non submission of information within minimum requirement list

Familiarise yourself with the minimum requirement list templates. (http://www.acra.gov.sg/Bizfinx+help+and+resources.htm)

Check to ensure that information within requireddisclosure notes are provided in templates.

Support For Companies

37

BizFinx

Preparation

Tool

Training & Help

Resources

More Time

For Filing

Preparation Tool

� Free offline tool to help companies prepare XBRL FS

� Increased flexibility by allowing offline preparation

� Auto-tagging function

� Ability to learn the fields that the company has used

within their financial statements � making

preparation easier in the following financial year

� Drag and drop function

� Ability to populate values automatically with this

function � reducing time for manual data entry

38

� June and August versions

� Provide ample time for user to familiarize with filing requirementsand using the tool

� Addresses issues highlighted from focus groups and publicconsultation

� November version

� Contains more enhancements (e.g. making review copy more user-friendly)

� This latest version of the preparation tool must be used to preparethe XBRL files for filing purposes, and it replaces earlier versionsreleased in June and August 2013

� All Excel / XBRL.zip files prepared using earlier versions of thepreparation tool can be opened and edited in the latest version ofthe preparation tool, and this should not result in any loss of data

39

Preparation Tool

Training Events� Free training seminars

� Held throughout the first year of revised XBRL filingregime, beginning July 2013

� Cover filing requirements and how to use the BizFinx

preparation tool to prepare FS

� Subsidized detailed training courses with trainingpartners

� Provide hands-on practice with BizFinx preparationtool

� 50% of training fee subsidized by ACRA

� Regular courses held monthly, available from July2013

40

More Time For Filing

Current Obligations

Non-listed companies are required to:

� To hold AGM every calendar year, interval not more

than 15 months

� To present accounts not more than 6 months after

year-end during AGM

41

More Time For FilingAssistance from ACRA

� Extension Of Time

� No application fee for companies applying for 30-dayextension for both obligations.

� Applicable only:

� For non-listed companies filing full XBRL

� During the first year of implementation

� Where the company has applied for and has been grantedEOT under s175 and s201 of Companies Act, no waiver oflate penalty under s197 will be available

42

More Time For FilingAssistance from ACRA

�Penalty Waiver

� If company fulfills the two obligations, penalties willbe waived if AR is filed not more than 30 days afterprescribed period.

�Illustrative example:

� Company with financial year-end of Dec 2012

� To hold AGM by June 2013 and file AR by July 2013

� AR filed only in August 2013

43

More Time For Filing� Compliance Ratings:

� EOT applied: if company has fulfilled all of itsobligations under s197, and s175 and s201 of theCompanies Act within their extended dates.

� EOT not applied:

� No penalty imposed for late filing, with compliancerating as if the company has breached theprovisions under s175, s197 or s201.

� Reason being: Compliance rating reflects compliancewith the legislation

44

Transition from FS Manager to BizFinx

� Option A (Full XBRL) where companies have used FS Manager to directly

prepare AGM FS (i.e. no separate document in word / excel)

� Request from ACRA for Option A FS in MS Word format (converted

from the XBRL FS), which may then be updated to be used as source

document in BizFinx prep tool

� Email request to: ACRA_xbrl_general@acra.gov.sg, with the following:

� Subject header of email: “Request for XBRL financial statements –

Option A filed with ACRA in Word format”

� Scanned copy of request letter using company letterhead & to be

signed off by company director, containing following details:

� Company Name

� Company Registration Number

� Financial Year End of the relevant Option A financial statements filed

� Copy of relevant Option A FS (XBRL format)45

Other Help Resources

� Hotline for companies and preparers on XBRL-related

enquiry and technical issues

� Preparers guide

� ACRA Taxonomy templates

� Business rules

� List of synonyms

� User guide/Quick guide for BizFinx preparation tool /

Video Guide (key functions of prep tool)

� FAQs

46

Experience The Value Of XBRL

� Free data analysis for companies filing Full XBRL or FSH

� Available to Company officers (directors and company

secretary)

� One-time usage every year, upon filing of Annual Return

with XBRL

� Printed (PDF format) and online (interactive graphs)

reports available

47

48

Experience The Value Of XBRL

� Financial ratios available for analysis:

� Revenue growth, Net profit margin, Return on assets,

Total asset turnover

� Trend analysis and industry comparison

Q & A

49

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