reducing reporting burden on european corporations standard formats and iascf-xbrl taxonomy an...
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REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
Standard formats and IASCF-XBRL taxonomy
An experience from the European Commitee of Central Balance Sheet Data Offices (ECCBSO)
Manuel OrtegaHead of the Central Balance Sheet Data Office DivisionChairman of the IIIWG of the ECCBSO
10th XBRL International Conference
Brussels
17th November 2004
2STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
DO WE HAVE A PROBLEM OF COMMUNICATION?
YES
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
3STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
QUESTION TO COMPANIES:
GORGED WITH STATISTICS, QUESTIONNAIRES AND SURVEYS?
YES
– Cost
– Redundancy
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
4STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
QUESTION TO STATISTICIANS, INVESTORS, LENDERS, OTHER USERS:
ARE YOU REALLY DISAPPOINTED WITH INFORMATION RECEIVED?
YES
– Cost
– Inadequacy
– Lack of comparability
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
5STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
FAITH AND HOPE, TO COMBINE BOTH POLES OF COMMUNICATION
IFRS: an option for homogeneization
XBRL: an opportunity for connecting supply and demand of information
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
6STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
SOME LIMITS AND DANGERS. ABOUT IFRS:
-A common accounting system is needed, but
-What will happen with SME?
-Comparability inside countries
-Are IFRS biased towards a group of users (investors)?
-Some figures:
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
Agents Employment (2)
Number Percentage Number PercentageAll legal forms 10.758.372 100,00 38.442.981 100,00Personally owned 5.995.513 55,73 8.172.856 21,26Corporations 4.789.859 44,52 30.270.125 78,74
of which, quoted corporations 3.816 0,04 na na(1) Data available for Denmark, Finland, Italy, Luxemburg, Norway, Portugal, Spain, Sweden and United Kingdom.
(2) Data not available for United Kingdom.
Eurostat and European Securities Exchange Statistics.
Non-financial enterprises
in Europe (9 countries) (1)
7STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
SOME LIMITS AND DANGERS. ABOUT XBRL:
-Regulators are becoming prepared for XBRL in Europe. Are companies prepared too?
-Easy access? It depends on the integration of the information in companies
TWO NEEDS:
-Continue with standard formats until XBRL is sufficiently used by corporations
-Involve IT corporations, which develop accounting software for SME, in order to assure a rapid use of XBRL
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
8STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
WHY STANDARD FORMATS / XBRL TAXONOMIES?
-Good for users, that:
-Profits on comparability
-Reduce costs and make access to data easier
-But also for companies, that:
- They want to know their obligations
- Especially when an accounting change is approaching
-Best way to introduce IFRS in Europe
-It means a reduction on reporting burden (several users can reach an agreement on the format or on the taxonomy)
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
9STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
EUROPEAN COMMITTEE OF CENTRAL BALANCE SHEET DATA OFFICES (ECCBSO)
-Infomal club of CBSO belonging to NIS and NCB
-Experience using accounting data for several purposes; some figures:
-Banque de France: 4.008 groups, 214.913 companies (74% coverage of employment in 2002)
-Banque de Belgique/Nationale Bank van België: 276.543 annual accounts (100% coverage in 2002)
-Banco de Portugal: 3.631 quarterly accounts (45,4% coverage in 2002)
-Banco de España: 209.007 annual accounts (45% coverage in 2002)
-Experience facing the problem of harmonization: BACH database
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
10STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
III WG OF THE ECCBSO
Targets:
-Monitor and report to the ECCBSO on IFRS implementation process
-Analyze the foreseeable impact on databases and system of analysis
-Creation of an IFRS-based format
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
11STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
IFRS-BASED STANDARD FORMAT: STRATEGIC PLAN
Use of XBRL-IASCF taxonomy (July 2003)Monitoring with real examples (13 listed groups)Methodological note: first draft finishedDefinition of “essential information”Reduction of the format to a common and essential format
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
12STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
IFRS-based standard format: characteristics
Great level of detail, to allow subsequent reductionEach item provides IFRS reference and XBRL tag availableEmployment, even though not asked for in IFRSPresentation principles :
Use of net values
Non current / current presentation of balance sheet
Income statement by nature / by function
Statement of cash-flow (both methods)
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
13STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
Contents of the extended format:
General characteristics
Options IAS
Business combinations
Consolidation
Employment (not required by any IFRS)
Balance sheet
Income statement (by function or by nature)
Statement of changes in equity
Cash-flow statement (direct, indirect or indirect alternative)
Notes
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
14STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
There is a note for each of the following items:
Property, plant and equipment Borrowings and payables
Investment property Borrowings movements
Intangible assets Income tax
Biological assets Defined benefit post-employment plans
Financial assets Equity
Current assets Related parties
Provisions and grants Segment reporting
Hedging instruments and risk Assets held for sale
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
15STATISTICS AND CENTRAL BALANCE SHEET DATA OFFICE DEPARTMENT
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
BEFORE THE PRESENTATION OF THE FORMAT AND ITS TAXONOMY EXAMPLE
THREE DEMANDS:
-It is convenient that IASB approves and updates the IASCF-XBRL taxonomy at the same pace IASB introduces changes
-If SME standards are developed by IASB, all users’ needs should be taken into account
-HOW AND WHEN: Asking for a more accessible channel (XBRL) to annual accounts is a fair demand. But:
-While XBRL is not used by SME, need of standard formats will remain.
-Why not asking for an early access, that is to say, an early deposit of the accounts?
Standard formats and IASCF-XBRL taxonomy An experience from ECCBSO
The ECCBSO Standard formatExample
Prepared with contributions of Banque Nationale de Belgique / Nationale Bank van België
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS ECCBSO Standard Format:
COUNTRY:
COMPANY:
IAS XBRLASSETS Paragraph Tag CBSO code Current Previous
I. NON-CURRENT ASSETS 1.51, 1.57 XBRL 0 0
A. Tangible assets 0 0
1. Property, plant and equipment 1.68.a XBRL 0 01.1. Land and buildings 16.37.b 0 0
1.1.1. Land 16.73,16.37.a XBRL1.1.2. Buildings 16.73 XBRL
1.2. Plant and equipment 16.73 XBRL1.3. Other elements 16.73 0 0
1.3.1. Motor vehicles 16.73,16.37.f XBRL1.3.2. Fixtures and fittings 16.73,16.37.g XBRL1.3.3. Leasehold improvements 16.73 XBRL1.3.4. Other property, plant and equipment (a) 16.73 XBRL
1.4. Construction in progress XBRL
2. Investment property 1.68.b XBRL 0 02.1. Land and buildings 40.76, 40.79 0 0
2.1.1. Land 40.76, 40.792.1.2. Buildings 40.76, 40.79
2.2. Other investment property (a) 40.76, 40.79
B. Intangible assets 0 0
Thousands €Year
REDUCING REPORTING BURDEN ON EUROPEAN CORPORATIONS
COUNTRY:
COMPANY:
INCOME STATEMENT BY NATURE IAS XBRLParagraph Tag CBSO code Current Previous
1. Operating revenue 1.81.a XBRL 0 0 1.1. Operating revenue 1.81.a XBRL 0 0
1.1.1. Turnover 0 01.1.1.1. Sale of goods 18.35.b.i XBRL1.1.1.2. Rendering of services 18.35.b.ii XBRL1.1.1.3. Revenue from construction contracts 11.39.a XBRL
1.1.2. Royalty income 18.35.b.iv XBRL1.1.3. Property rental income 40.75.f.i, CP XBRL1.1.4. Other miscellaneous operating revenue 1.91 XBRL
1.2. Other operating income 1.91, 1.92 XBRL 0 01.2.1. Interest income 18.35.b.iii XBRL1.2.2. Dividend income 18.35.b.v XBRL1.2.3. Income from government grants 20.39.b 0 0
1.2.3.1. Income from government grants related to income 20.311.2.3.2. Income from government grants related to assets 20.26
1.2.4. Remaining operating income 0 01.2.4.1. Foreign exchange gain from foreign currency borrowings related to interest costs 23.5.e XBRL1.2.4.2. Gain on redemption and extinguishment of debt CP XBRL1.2.4.3. Other operating income CP XBRL
Thousands €Year
ECCBSO Standard Format:
General presentation
WGIII Taxonomy
IFRS Taxonomy
Extension ifrs-gp-2004-06-15-WGIII.xsd
Presentation Link ifrs-gp-2004-06-15-WGIII-presentation.xml
ifrs-gp-2004-06-15-WGIII-label.xml
Label Link
Instance document
Stylesheet
Company-2003-12-31.xml
ifrs-gp-2004-06-15.xsd
ifrs-gp-2004-06-15-label.xml
Company-2003-12-31.html