How Can a Private Company (Pty) Ltd File AFS to CIPC in iXBRL Format?

Introduction

The CIPC mandates all businesses to file their Annual Financial Statements (AFS) to CIPC in iXRBL format, including private companies. The mandate has been made to ensure the efficient and quick filing of a company’s Annual Financial Statements, which makes it easier for every party involved in the use and assessment of these sensitive and important financial statements.

Private Companies Checklist for CIPC iXBRL filing:

As a private company working in South Africa, you must adhere to the provisions and guidelines by the CIPC for filing the AFS in the iXBRL format.

What is iXBRL filing?

It is an electronic file format used for business reporting. The objective of the format is to enable quick, efficient, and accurate business and financial reporting and to bring in a global standard for it.

How can a private company file AFS to CIPC?

All businesses incorporated in South Africa must file their Annual Financial Statements at CIPC annually within the time prescribed by the CIPC. This helps the CIPC update the business’ contact information, as the law needs, and keep the company’s business status ‘active’.

The AFS filed by a private company must:

Be done within six months after the financial year ends.
Be as per the prescribed standards, if any, in content and form.
Include the statement date when it was produced and the corresponding financial year.
Indicate whether the statements are audited as per the requirements of the law.
Be independently reviewed as per the requirements of the law if the statements are not audited.
Include the name and designation of the person who prepared and supervised the AFS.
Be signed by the authorized director, approved by the Board, and shared with the shareholders.
Be compiled internally if the PIS is below 100 and independently if the PIS score falls between 100 and 249. Auditing needs to be conducted if the PIS score is above 350.

Refer to Page (7): CIPC Guidelines for Filing AFS in XBRL Format for the Private Companies

Summing up

Filing the AFSs in the iXBRL format brings various advantages to the business and the commission. Despite the constant efforts of the commission and related government entities, not all businesses are satisfied with the move. However, the common consensus among the industry is that it has helped make filing more streamlined and can bring more advantages in the long term.

If you are a private company looking for help with filing, DataTracks can help you. Having served the industry for more than 17 years, we can help you with all your requirements for AFS filing with CIPC in iXBRL format.

We have extensively worked with 22K+ clients worldwide, so we have the proficiency and industry insights to help you.

Call us at +27-10-446-9061 or email enquiry@datatracks.co.za.

Frequently Asked Questions on AFS to CIPC in iXBRL Format

1. What is iXBRL format?

iXBRL stands for Inline eXtensible Business Reporting Language. It’s a digital format for reporting financial statements that allows for automated analysis and data exchange.

2. Why do private companies need to file AFS in iXBRL format?

The CIPC mandates iXBRL filing for certain private companies to improve transparency, streamline reporting, and enable easier data analysis.

3. How much does it cost to file AFS in iXBRL format?

The CIPC filing fee applies regardless of the format used. Additional costs may arise from using iXBRL software or seeking professional assistance with tagging and filing.

4. What software can I use to create iXBRL files?

Several accounting software programs and dedicated iXBRL tagging tools are available. Choose one that suits your needs and budget.

Here’s how DataTracks Rainbow can help you:

DataTracks Rainbow is a comprehensive cloud-based solution specifically designed to simplify and streamline iXBRL filing for companies of all sizes, including private companies. Here are some key benefits of using DataTracks Rainbow:

User-friendly interface: The intuitive interface makes it easy to navigate even for users with limited technical expertise.
Automated tagging: The software automatically tags your financial data elements to the corresponding iXBRL tags, minimizing manual effort and reducing errors.
Validation and error checking: Built-in validation tools ensure your iXBRL file adheres to CIPC specifications and identify any errors before submission.
Secure filing: DataTracks Rainbow utilizes robust security measures to protect your sensitive financial data throughout the filing process.
Support and guidance: The platform offers comprehensive support resources and access to expert assistance if needed.

5. Is there a deadline for filing AFS in iXBRL format?

Yes, private companies must file their AFS within six months after their financial year-end.

6. What happens if I don’t file my AFS in iXBRL format?

Non-compliance with filing requirements can lead to penalties and potential legal consequences. DataTracks Rainbow understands the importance of iXBRL compliance and the potential risks associated with non-filing. We offer a fast and reliable solution to help you file your AFS accurately and on time, avoiding these negative consequences.

7. Where can I find more information about iXBRL filing for private companies?

The CIPC website provides detailed information and resources on iXBRL filing, including the online PIS calculator and user guides. You can also consult with a qualified accountant or professional service provider for further guidance.

By partnering with DataTracks Rainbow, you can achieve stress-free iXBRL compliance and avoid the potential pitfalls of non-filing. Contact us today to learn more and get started.