Applicability:
The XBRL filing for financial statements is mandatory for certain categories of companies under the Companies Act, 2013. It is applicable to:
- Listed Companies: Companies listed on the stock exchanges.
- Public Companies: With paid-up capital of ₹5 crores or more.
- Private Companies: With paid-up capital of ₹5 crores or more, or as specified by the MCA.
- Other Specific Companies: As notified by the MCA from time to time.
Due Date:
- Annual Financial Statements (Balance Sheet, Profit & Loss Account, etc.) need to be filed in XBRL format within 30 days of the Annual General Meeting (AGM).
- The due date for filing is usually within 30 days from the date of AGM, as per the financial year ending on March 31st.
Why XBRL for Financial Statements:
- Standardized reporting for comparability and transparency.
- Machine-readable format for easy analysis by investors, regulators, and other stakeholders.
- Mandatory for companies that fall under specific financial thresholds, ensuring compliance with the MCA regulations.
Frequently Asked Questions (FAQs) on XBRL Filing for Financial Statements
1. What is XBRL filing for financial statements?
XBRL (eXtensible Business Reporting Language) is a standardized, machine-readable format mandated by the MCA for filing financial statements. It ensures uniformity and facilitates easier analysis and comparison of financial data across companies. Ministry of Corporate Affairs
2. Which companies are required to file financial statements in XBRL format?
As per the Companies (Filing of Documents and Forms in Extensible Business Reporting Language) Rules, 2015, the following companies must file their financial statements in XBRL format:
- Listed companies and their Indian subsidiaries.
- Companies with a paid-up capital of ₹5 crore or more.
- Companies with a turnover of ₹100 crore or more.
- Companies required to prepare financial statements in accordance with Indian Accounting Standards (Ind AS). Note: Certain sectors like Banking, Insurance, and Power are exempt from this requirement. Ministry of Corporate Affairs+1Ministry of Corporate Affairs+1Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2
3. What is the due date for filing financial statements in XBRL format?
The financial statements must be filed in XBRL format within 30 days of the Annual General Meeting (AGM). For example, if the AGM is held on September 30, the filing must be completed by October 30. Note: Delays beyond the due date may attract additional fees as per the MCA guidelines.
4. Can we file financial statements in PDF format instead of XBRL?
No, the MCA mandates that financial statements be filed in XBRL format. PDF attachments are not acceptable for the filing process. Ministry of Corporate Affairs
5. Is there a specific software required for XBRL filing?
Yes, companies need to use XBRL instance document creation software to prepare their filings. While the MCA provides a Validation Tool to check the accuracy of the XBRL documents, it does not recommend any specific software. Companies can choose software from vendors that comply with the MCA’s Business Rules. Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2
6. Who is responsible for certifying the XBRL filing?
The certification of the XBRL filing must be done by a professional, such as a Chartered Accountant (CA) or a Company Secretary (CS), who is authorized to verify the authenticity and accuracy of the financial statements in XBRL format. Ministry of Corporate Affairs
7. How can we ensure the accuracy of our XBRL filing?
To ensure accuracy:
- Map each financial statement element to the corresponding element in the MCA’s published taxonomy.
- Validate the XBRL document using the MCA’s Validation Tool before submission.
- Review the instance document to confirm that it aligns with the audited financial statements.
- Attach the validated XBRL documents to the appropriate e-form (e.g., AOC-4 XBRL) for submission. Ministry of Corporate Affairs+4Ministry of Corporate Affairs+4Ministry of Corporate Affairs+4Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2Ministry of Corporate Affairs+2
8. What should we do if our company has subsidiaries?
If your company has subsidiaries:
- Indian subsidiaries: Their financial statements are not required to be separately attached in the e-form of the holding company. However, the SRN details of the e-Form AOC-4 XBRL filed by the Indian subsidiary should be mentioned in the instance document of the holding company.
- Foreign subsidiaries: Their annual accounts need to be attached as a separate PDF document in the e-Form AOC-4 XBRL of the holding company. Ministry of Corporate Affairs+6Ministry of Corporate Affairs+6Ministry of Corporate Affairs+6Ministry of Corporate Affairs+1Ministry of Corporate Affairs+1
9. Are there any exemptions for certain companies?
Yes, the following companies are exempt from filing financial statements in XBRL format:
- Non-Banking Financial Companies (NBFCs)
- Housing Finance Companies
- Companies engaged in the business of banking and insurance Note: These exemptions are subject to MCA notifications and may change over time.