By Rob Blake, Vice President of Product Management
Now that the dust has settled on the SEC press release and proposed rule from last week (more on that in our previous blog), let’s take a closer look at the operational impact. If you’re one of the many who saw the 121-page Proposed Rule on Inline XBRL Filing of Tagged Data and were looking for a quick synopsis on “the news,” this post is for you. Here are the top 5 things you need to know about Inline XBRL:
1. Operating companies will be mandated to do Inline, via a phase-in schedule:
a. Large accelerated filers one year after (i.e., in the second year) the effective date of the final rule
b. Accelerated filers two years after (i.e., in the third year) the effective date of the final rule
c. All remaining companies three years after (i.e., in the fourth year) the effective date of the final rule
2. Mutual fund companies will be mandated to do Inline, also via a phase-in schedule:
a. Larger entities with $1B or more of net assets (as of the end of the most recent fiscal year) one year after the effective date of final rule
b. Smaller entities with under $1B of net assets two years after effective data of final rule
3. Mutual fund companies will no longer have 15 extra days to submit their XBRL after their HTML-based submission of the same (i.e., XBRL and HTML filed concurrently)
4. Foreign Private Issuers must submit XBRL (in Inline XBRL once the Inline phased-in mandate takes effect) using the recently approved-for-use IFRS taxonomy for their financial statements for fiscal periods ending on or after 12/15/2017
5. Removes the XBRL web site hosting requirement
So there you have it. While the Proposed Rule is titled to focus on Inline XBRL, and primarily it is, it’s also a bit like a 6-years-in-the-making XBRL house cleaning at the SEC. The Proposed Rule is available for public comment for 60 days but the reality is this: There’s no way this train will jump the tracks. Now is the time to sit down, digest the details, and take the news seriously.
Need more XBRL? View our recording: 5 Strategies for High Quality XBRL. Have something to add? Post your thoughts in the comments section below!