In an effort to standardize and improve the quality and analytical capabilities of financial data, US and foreign regulators have established reporting requirements for public companies to submit standardized statutory financial information for quarterly, annual and interim reporting. This standardized electronic data format, called eXtensible Business Reporting Language (XBRL), is intended to make reporting more accurate and efficient for the users of public company financial information disclosures tagged in US-GAAP and IFRS.
The XBRL electronic data filing, called an instance document, is generated through interactive and collaborative manual and automated processes using a disclosure management solution. The process of mapping each financial statement line item to a standard term in the US-GAAP or IFRS XBRL taxonomy can be a complex endeavor, and as a result, organizations often purchase disclosure management software or enlist the help of an external third party provider to create and submit the XBRL public company disclosure documents to their regulators. Regardless of how the digital version of financial statements are created, however, Management is legally responsible for ensuring the mapping, completeness, and accuracy of their XBRL data and that it conforms to jurisdictional reporting requirements.
With experience dating back to the origination of the technical standard over 15 years ago, the professionals at Richey May assist foreign and domestic filers with their XBRL reporting processes, controls and compliance efforts in accordance with both US GAAP and IFRS reporting standards. We have worked with XBRL International and XBRL US, US and International Regulators, software vendors and accounting professionals, and we participated in the adoption of XBRL as the electronic data standard by the US SEC through Regulation ST-405. As a licensed CPA firm with an expert understanding of financial statement reporting, our services will complement your efforts and ensure the quality and compliance of your XBRL documents with regulatory requirements.