By now you’ve surely heard the news: on March 1, 2017, the U.S. Securities and Exchange Commission (SEC) announced support for the International Financial Reporting Standards (IFRS) interactive data (or XBRL) mandate.
This directly impacts over 500 Foreign Private Issuers (FPI) – over 40% of which are in Canada – that have not previously had to create, review, and submit XBRL to the SEC. This means 20-Fs, 40-Fs, and 6-Ks with periods beginning on 12/15/2017 must now be submitted in interactive date format.
The filing of XBRL represents a completely new process for IFRS-based FPIs. In fact, prior to the March 1st announcement, there was no requirement for IFRS-based FPIs to file XBRL with the SEC at all. Why the change? Although we may not know for sure, the action taken by the SEC continues to promote the use of XBRL for collecting and standardizing information across SEC submissions – both US-based and abroad. This a good thing as it levels the playing field and promotes more standardization of data.
Being in the XBRL game since the original US mandate in 2009, Certent software has been used to file over 20,000 SEC XBRL documents, with 800 customers using its Disclosure Management solution, outsourcing the filings completely or using its DisclosureNet research solution to improve the quality of filing. We live and breathe XBRL and know what it takes to develop a strategy to attack the XBRL beast and comply with the new filing requirements.
And now there’s a new resource specific to the 215 companies in Canada who now have to comply with this new regulation. Canadian filers can send questions to XBRLinCanada@certent.com about the new IFRS requirements or general inquiries regarding XBRL, iXBRL, and process-related impacts. The hotline offers direct access to certified experts in XBRL including tagging, validation, and the use of Inline XBRL (iXBRL).
We will also host an informational web conference for Canadian filers on April 13, 2017 as another way for financial reporting professionals to learn how the rules affect their operations. Interested parties can use the hotline to find out more details or click the link above to register now.
Need more information? Have questions? Contact our experts via the hotline above to submit your comment now.