Full XBRL Vs Simplified XBRL
XBRL (eXtensible Business Reporting Language) is a standardised format that embeds electronic tags within human-readable financial statements. These tags act like invisible labels, allowing software applications to understand and analyse the data like humans can. XBRL filing forms come in four varieties, which vary based on the company’s size and operations.
In this blog, we will decode the differences between Full XBRL and Simplified XBRL. Understanding these distinctions is pivotal in making informed decisions tailored to the unique demands of financial reporting.
What is Full XBRL?
For businesses that must submit their financial statements using fundamental XBRL features, including primary statements and specific notes to the financial statements, there is a template called Full XBRL. About 210 data pieces make up this extensive template, which effectively illustrates a business’s financial performance and status.
Full XBRL filing enables businesses to:
- Upload information from their principal accounts and chosen notes.
- Make sure that their financial data is reported accurately and easily, and make it available to investors, regulators, and other stakeholders.
What is Simplified XBRL?
The Simplified XBRL template serves Singapore’s non-publicly traded corporations and smaller enterprises. It provides the following attributes:
- About 120 different data points
- An easier choice for businesses that must offer important financial data in XBRL format
- An entire set of financial statements available in PDF
Comparative Analysis
When business owners must file financial statements and capture detailed information in financial performance and position statements, using the Simplified XBRL template provides flexibility. Smaller, privately held businesses can save time and money by filing their financial statements in a more straightforward manner, thanks to this format.
This analysis examines the main trade-offs between these formats in detail, emphasising complexity, usability, and regulatory compliance.
The delicate balance between granularity and complexity
Full XBRL:
- High implementation costs and specialist knowledge are required for extensive tagging needs.
- More than 200 tags record minuscule details, providing detailed reporting but necessitating careful consideration.
- Fit for big businesses, open firms, and organisations with intricate financial arrangements.
- Frequently satisfies strict legal standards requiring detailed reporting.
Simplified XBRL:
- A streamlined tagging procedure uses fewer resources and requires less technological know-how.
- Approximately 120 tags highlight key financial components, offering a short synopsis.
- Suitable for non-public enterprises, smaller organisations, and those with simpler financial statements.
- May fail to meet some legal obligations requiring thorough reporting.
Comprehending the subtle differences between Full XBRL and Simplified XBRL enables enterprises to choose based on their requirements and competencies. A thorough assessment of complexity, usability, and legal requirements guarantees maximum effectiveness and compliance in XBRL reporting.
Also Read: XBRL Types – Simplified, Full, and Statement Highlights XBRL
How Can DataTracks Help?
DataTracks is the leading provider of XBRL preparation solutions worldwide. With ACRA taxonomy, our solution is ready for the market and designed to meet the ACRA XBRL requirements of Singaporean firms from 2013 onward.
In various nations worldwide, particularly in Singapore, we support numerous companies, auditing, and secretarial organisations in effectively converting their financial statements into XBRL download format to meet ACRA filing requirements. Feel free to reach us at enquiry@datatracks.com.sg or call us on +65 31582850 for any business queries.