FAQ-XBRL

1. What is the meaning of XBRL and on which company it is applicable?

Answer: XBRL stands for “Extensible Business Reporting Language” is started in India vide Companies (filling of documents and forms in Extensible Business Reporting language) Rules, 2011 notified vide GSR No. 748E dated 5/10/2011 select class of companies are required to file their Balance Sheet and Profit & Loss Account and other documents as required u/s 220 of Companies Act, 1956 with the Registrar of Companies (ROC) for the financial year ending on or after 31st March, 2011.

  • This is currently applicable on following class of companies:
  • All companies listed with any Stock Exchange(s) in India and their Indian subsidiaries; or
  • All companies having paid up capital of Rupees five crore and above; or
  • All companies having turnover of Rupees one hundred crore and above; or
  • All companies who were required to file their financial statements for FY 2010-11, using XBRL mode.
  • However currently,
  • Banking companies
  • Insurance companies
  • Power companies and
  • Non-Banking Financial Companies (NBFCs) are exempted from XBRL filing till further orders.
  • 2. How many companies can be filled by using Gen-XBRL Software?

    Answer: Unlimited no. of companies can be filled using our software.

    3. Can I create the Final accounts documents again by using XML file generated and filled from any other XBRL software?

    Answer: We have given a vice-versa function through which one can import the XML file and see his financial data as per taxonomy.

    4. Whether is it requiring opening MCA Validation tool separately?

    Answer: No, you need not to open MCA validation tool separately we have given that option within our software to check Validation and pre-scrutiny error.

    5. Can I generate PDF file even if there is error in XML validation or pre-scrutiny to check the file as what is left?

    Answer: Yes, you can generate PDF file even without validation to see or check what remaining requirement is.

    6. Does this has the function to create Standalone and consolidated instance documents?

    Answer: Yes, you can create both standalone and consolidated instance documents in following manner:

    Category Standalone Consolidated(if they have subsidiary/holding companies)
    1)All Companies having paid up capital Rs. 5 Crore & above. Yes Yes
    2)All companies having Turnover of Rs. 100 Crore & above. Yes Yes
    3)All companies listed with any Stock Exchange(s) in India and their Indian subsidiaries. Yes Yes
    4)Indian Subsidiaries (or) Holding Companies of Listed Companies. Yes Yes, if they preparing consolidated accounts previously.
    5)Any other Indian company, Indian Subsidiaries (or) Holding companies of Un-listed companies which are not falling in above category. Normal filling. Normal filling.

    7. Can we copy-paste our non-financial data such as Auditor’s Report, Directors Report, etc. in this software?

    Answer: Yes, one can easily attach the non-financial data such as following:

  • Auditor’s Report
  • Director’s Responsibility statement/Report [u/s 217]
  • Management analysis and Discussion Report (MADR)
  • Notes to accounts, etc.
  • 8. Do you have Footnotes option to give additional details on any element?

    Answer: Yes, if you have to give any detail about any element or amount you can provide the same.

    9. What is the process to operate XBRL in company Law software?

    Answer:

  • Step 1: Feeding/Mapping the whole financial data with all relevant notes and disclosures in Gen XBRL Software.
  • Step 2: Converting it into XML file format by our Product Gen XBRL or Gen Comp Law Software with our professionals’ assistance.
  • Step 3: Validation, pre-scrutinizing and PDF creation within our Software in one go.
  • Step 4: An Instance document containing Balance Sheet and Profit and Loss Account will be generated, ready for filling XBRL e-forms (Form 23AC-XBRL and Form 23ACA-XBRL).
  • 10. Whether the existing e-form 23AC and e-form 23ACA can be used for XBRL Balance sheet and Statement of Profit and Loss?

    Answer:

  • No, the existing Form 23AC and Form 23ACA are not to be used for filing Balance sheet and Statement of profit and loss in XBRL mode however for this, new Form 23AC-XBRL and 23ACA-XBRL have been introduced and made available on the MCA portal.
  • And using our softwares you can have the same e-forms pre-filled generated.
  • 11. Whether it is required to validate the instance document (XML File) created before uploading the same on MCA portal?

    Answer: Yes, validating the instance document is a pre requisite condition before filing the same on MCA portal. A Validation tool has been provided on the MCA XBRL portal (http://www.mca.gov.in/XBRL/index.php ) for validating the generated XBRL instance document and we have given the same tool within our software for validation and pre-scrutiny.

    Cost Audit Report in XBRL

    1. Who has to file Cost Audit Report and Compliance Report in XBRL format?

    Answer:

  • Ministry of Corporate Affairs has mandated filing of the Cost Audit Report and Compliance Report from the financial year 2011-12 onwards (including overdue reports relating to any previous year) by using the XBRL taxonomy vide General Circular No. 8/2012 dated 10.5.2012 [as amended on 29.6.2012] and No. 18/2012 dated 26.7.2012.
  • And companies meeting with the threshold limits as prescribed in the relevant Cost Accounting Records Rules 2011 are required to file Compliance Report in the XBRL format.
  • 2. Which companies are exempt from Cost Audit Report filling?

    Answer: All such companies that are NOT covered under the company specific Cost Audit Orders issued prior to 31.3.2011 and/or under the industry specific Cost Audit Order No. 52/26/CAB-2010 dated 2nd May 2011, 30th June 2011 and 24th January 2012 are not required to file Cost Audit Report.

    3. What is the period for which a person’s income is taken into account for purpose of Income tax?

    Answer: The Ministry of Corporate Affairs issued the following Cost audit orders:

    Date of order Industries Covered Broadly Applicability –Conditions Year for which applicable
    2nd May 2011 1) Cost Accounting Records (Bulk Drugs) Rules, 1974
    2) Cost Accounting Records (Fortmulations) Rules, 1988
    3) Cost Accounting Records (Fertilizers) Rules, 1993
    4) Cost Accounting Records (Sugar) Rules, 1997
    5) Cost Accounting Records (Industrial Alchohal) Rules, 1997
    6) Cost Accounting Records (Electricity Industry) Rules, 2001
    7) Cost Accounting Records (Petroleum Industry) Rules, 2002
    8) Cost Accounting Records (Telecommunications) Rules, 2002
    (a)Aggregate Value of networth as on the last day of immediately preceding financial year year exceeds Rs. 5 Crores, or
    (b) wherein the aggregate value of the turnover made by the company from sale or supply of all products or activities during the immediately preceding financial year exceeds twenty crores of rupees; or
    (c) wherein the company's equity or debt securities are listed or are in the process of listing on any stock exchange, whether in India or outside India
    2011-2012
    3rd May 2011 The order was modified vide order dated 30/06/2011. - -
  • The Order as on 30/06/2011 explains following Category:
  • Date of order Product/Industry under Cost Audit HSN Classification/Central Excise Tariff Act Applicability -Conditions Year for which applicable
    30 June 2011 Cement
    Tyres and Tubes
    Steel
    Paper
    Insecticides*
    Glass
    Paints and varnishes
    Aluminium
    Chapter 25, 38 and 68
    Chapter 40
    Chapter 72 and 73
    Chapter 47 and 48
    Chapter 38
    Chapter 70
    Chapter 32
    Chapter 25
    a)Companies having turnover exceeding Rs 100 crores in the immediately preceding financial year b) Companies whose equity or debt securities are listed or are in the process of listing 2011-2012
  • The Order as on 24th January 2012 explains following Category:
  • Date of order Name of Industry Relevant Chapter Heading of the Central Excise Tariff Act 1985 Applicability -Conditions Year for which applicable
    24th January 2012 Jute, Cotton, silk, woolen, or blended fibres / textiles

    Edible Oil seeds and Oils (incl. Vanaspati)

    Packaged Food Products

    Organic and Inorganic Chemicals

    Coal & lignite
    Mining & metallurgy of ferrous and no ferrous metals

    Tractors & other motor vehicles (incl. automotive components)

    Plantation Products

    Engineering machinery (incl. electrical & electronic products)
    Chapter 50 to 63


    Chapter 12 and 15

    Chapter 2 to 25 (except chapters 5,6,14,23 and24)

    Chapter 28, 29, 32, 38 and 39

    Chapter 27


    Chapters 26 and 74 to 83 (except Chapters 76 and 77)
    Chapter 84, 85 and 87

    Chapter 8, 9, 21 and 40

    Chapters 84 and 85
    a)Companies having turnover exceeding Rs. 100 crores in the immediately preceding financial year
    b) Companies whose equity or debt securities are listed or are in the process of listing.
    2012-2013

    4. What are the steps to check applicability of Cost Audit?

    Answer: Firstly look for various parameters to check the applicability of Cost Audit such as:

  • Turnover of the company
  • Listing Status
  • Net Worth
  • Central Excise Classification Code
  • Specific Industry Nature of the company
  • After checking above parameters see for Cost Audit Applicability from Orders stated in Question No. 3 for ‘Yes’ or ‘No’.
  • Step 1) Check the industries as mentioned above. Firstly Go through your excise return and check whether any of the products is cleared under any of the excise classification codes mentioned above, or the company falls under any of the industry covered under cost audit order dated 2nd May 2011.
  • Step 2) If Not, your company is not covered under cost audit apparently provided the same has not been covered specifically earlier, else
  • Step 3) If yes,
  • (a)Please check the turnover of the company for the year 2010-11 in respect of the companies where applicability year is 2011-12 and for the year 2012-13 where cost audit applicability is from the year 2012-13
  • (b)Also check whether the company is listed or not in case of companies covered through Excise classification codes
  • (c)Where companies are covered under order dated 2nd may 2011, the Networth criteria needs to be checked.
  • (A) The companies are required to see if any one of the following criteria is fulfilled for companies falling under orders dated 3rd May, 30th June and 24 Jan 2012, the company is covered under cost audit:
  • a)Companies having turnover exceeding Rs 100 crores in the immediately preceding financial year,(Or)
  • b)Companies whose equity or debt securities are listed or are in the process of listing
  • (B) The companies are required to see if any one of the following criteria is fulfilled for companies falling under orders dated 2nd May 2011, the company is covered under cost audit
  • a)Aggregate Value of net worth as on the last day of immediately preceding financial year exceeds Rs. 5 Crores, or
  • b)Companies having turnover exceeding Rs 20 crores in the immediately preceding financial year, or
  • c)Companies whose equity or debt securities are listed or are in the process of listing.