XBRL – The Future of Financial Reporting in Malaysia
Imagine a time when you don’t have to visit the SSM (Suruhanjaya Syarikat Malaysia) office to file your financial statements anymore. A convenient time, right? Well, that time is now. The XBRL initiative in Malaysia was introduced back in 2018 but is now picking up pace due to the COVID-19 lockdown and restrictions.
Still in its infancy stage, XBRL is venturing to become the mainstay method for reporting financial statements. Due to the convenience and error-free reports it offers, regulators and organisations are working towards implementing XBRL into their current reporting systems.
The Objective Behind Implementation of XBRL in Malaysia
● To promote and encourage electronic business reporting.
● Acknowledge and ratify extensions or variations to the Malaysian Taxonomy based on MASB (Malaysian Accounting Standards Board) approved accounting standards.
● To keep the taxonomy updated with international developments.
● To represent financial data – both machine and human-readable.
How Can You Benefit by Using XBRL in Malaysia?
With XBRL, you can systematically maintain all your financial data. XBRL can also assist in analyzing and processing information. Automated data collection offered by XBRL can help you save time and money as it allows the internal sharing of reports. So no more hustling to fetch and share reports or financial information.
This innovative method of reporting is also making its way into helping auditors and investors. By allowing them access to error-free and accurate financial statements, XBRL helps them make informed decisions.
In conclusion, the MBRS (Malaysian Business Reporting System) based on XBRL is here to stay. It is here to streamline the entire financial reporting system, increase transparency, and, most of all, to improve the quality of financial data being reported while ensuring compliance. The organisations using this format can leverage it not only for error-free reporting but also to gain insights into their financial data.
XBRL – The Future of Financial Reporting in Malaysia
The initiative taken by the Malaysian government to introduce XBRL is making headway into the accounting system of almost all Malaysian-based companies. To leverage most of this regulatory reporting system, guidance from an expert like DataTracks is key. With an exemplary track record of over 15 years in reporting and converting financial statements in the XBRL format, DataTracks strives to offer quality and error-free services in this domain. To learn more about what DataTracks offers, get in touch with an expert TODAY enquiry@datatracks.my or +60-392126125.
