Extensible Business Reporting Language (XBRL) as its name suggests is the language used for electronic communication of business and financial data. It is making business reporting an easy task, with its usage, business reporting is simply evolving and changing for better. It highly provides aid in the communication of business information by providing great gains in the analysis, preparation, and majorly in communication. Not just that, it is great at providing efficiency, enhanced accuracy, reliability, and cost savings, highly to the ones supplying or handling financial data.
With benefitting the business world by enhancing the communication and transferring of information, XBRL is taking digs at its level at large, including all businesses over the world with businesses using and adapting to it. XBRL offering great benefits to all levels of business reporting and analysis:
The financial data is provided with resources that are from being costly with manual processes, and time-consuming tasks, assembly, and re-entry of data. The financial data is highly aided with impactful resources and is cut off from the unnecessary cost and time-consuming processes.
The following companies are to file their financial statements and documents under section 137 of the Companies Act, 2013 with the Registrar in e-form AOC-4 XBRL:
The companies that are exempted from filing financial statements under the rules that fall under section 137 of the companies Act, 2013 are:
XBRL provides the data with good readability because of the two documents it provides, on is the Taxonomy document and the other is the Instance document. Companies are required to map their reports and create a valid XBRL instance document using taxonomy ordered by the regulators. Taxonomy explains the elements along with their relationships as per the regulatory needs. Mapping is a process of matching the ideas as stated by the company to the respective element in the taxonomy. The instance document includes information such as a period of data, the scale of reporting, and a unit of measurement in addition to assigning XBRL tag from taxonomy.