20. the singapore experience ms juthika ramanathan
TRANSCRIPT
To provide a responsive and trusted regulatory environment forbusinesses and public accountants
To provide a responsive and trusted regulatory environment forbusinesses and public accountants
THE SINGAPORE EXPERIENCE
CRF 2012 Delhi 16 Feb 2012
Ms Juthika RamanathanChief Executive of ACRA
Agenda
Overview of Financial Reporting Process
Objectives of Going XBRL
Overcoming Challenges
Future Plans
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Overview – Financial Reporting Process
Legal Obligations
Imposed by Singapore Companies Act
All companies are required to prepare financial statements inaccordance with prescribed Accounting Standards
Directors are responsible for the financial statements
All companies (other than solvent exempt private companies*) arerequired to file financial statements with ACRA
All filed financial statements are available for public information /inspection
* An exempt private company is a company with no corporate shareholder and not more than 20 shareholders
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Overview – Financial Reporting Process
FinancialStatements
DirectorsAuditor
Shareholders
3rd Party ConsumersPromotes information
flow
Tabled at AGM
Preparer Ensures compliance with Accounting Standards and gives a true and fair view Responsible for filing with ACRA
Prepared and filed in XBRL
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Objectives of Going XBRL
Manual data extractionby information retailers
Accurate? Cost efficient?Timely?
Duplicative financialreporting regulatoryrequirements
Same piece of data buttermed differently Different forms ofsubmission and reportingtimelines
Challenges
XBRLEfficiently collect andpromulgate value-addedcorporate information
Facilitate the eventualestablishment of a one-stop filing by business tothe Government
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Adopting XBRL is aligned with ACRA’s overall strategic direction ofenabling: a pro-enterprise financial reporting environment for businesses in
Singapore; and a value enhancing financial information flow to the international
business community.
Strategic goals to be achieved with XBRL adoption: XBRL will benefit the business community - Improving access to
data of Singapore companies Unlocking new value from financial information filed with ACRA Facilitating harmonised regulatory business reporting Strengthening our regulatory vigilance - A trusted business hub
Why XBRL for ACRA?
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Pro-enterprise design to minimise impact of XBRL implementationon companies
“Mandatory” requirement, with “soft” approach for buy-in andengagement of key stakeholders
Small taxonomy
Choice of two filing options Full XBRL: Full set of financial statements in XBRL Partial XBRL: Minimum of statement of comprehensive
income and statement of financial position in XBRL
Provide free XBRL preparation tool: FS Manager
Transformation to XBRL
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ACRA FS Manager
XBRL
Data Entry
Importing fromaccounting systems
XBRL
Save as XBRLPDF
Save as PDF
FS Manager is designed to be used as a Financial Statements Preparation Tool
Using FS Manager to Prepare Financial Statements
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© Copyright Ecquaria Technologies Pte Ltd. All Rights Reserved.
ACRA BizFile
ACRA FS Manager
XBRL
XBRL
XBRL
FS Manager is also designed to upload and validate XBRL Financial Statements (called instance documents) before filing to ACRA at Annual Return Filing.
Using FS Manager to File Annual Return
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Benefits of Going XBRL
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Streamline existing inefficiencies in the entire spectrum of financialinformation supply chain
Enable information resellers who serve the business communitymore time to focus on higher-value added activities
Ability to provide users with value added financial data in an almostinstantaneous and interactive manner
Public-private collaboration: XBRL-enabled analytical tools to provide value-enhancing information at the fingertips of information users Individual company’s information Calculation power for statistics of companies’ financial performance: Financial ratio analysis Industry trend analysis Cumulative years trends analysis
Benefits of Going XBRL
Open Analytics Singapore Financials Direct
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Unlock potential of greater B2B, G2Band G2G data use
Streamline financial filing process toprovide a seamless filing experiencefor the business community
WOG effort for B2G: Making it easierfor business to report to theGovernment
Ongoing / Future Plans
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