A New Era
FRS taxonomies and the end of minimum tagging for iXBRL
The concept of minimum tagging (i.e. the ability to tag using only a small subset of the full taxonomy) as required by HMRC, has been the subject of considerable debate since their introduction of the iXBRL mandate in April 2011.
Some software providers delayed launch in favour of including full tagging in their initial release while others opted to apply only the minimum tag set.
We wanted our customers to be able to choose; we catered for both
The expectation in the market was that when the HMRC ‘soft landing’ period came to an end – in early 2013 – they would remove their minimum tagging list.
This would mean everyone would have to use full tagging of the accounts that accompany the CT600 form, and computations for them, to be accepted.
It was a huge relief to everyone when that didn’t happen but we knew it was just a matter of time.
The respite is over
For periods beginning on or after 1 January 2015, UK GAAP is superseded by FRS 101 and 102, bringing entirely new iXBRL taxonomies with them.
HMRC have used this change as the catalyst to finally remove minimum tagging. They have stated:
“XBRL has now been in place for a number of years and with the arrival of easier to use taxonomies, further development of software packages, and new consumers of XBRL, limited tagging is no longer desirable.”
New taxonomies for all
The FRS taxonomies will have to be used by all companies that previously fell under UK GAAP and it is highly likely that for periods starting on or after 1 January 2016 this will replace the FRSSE too (the Financial Reporting Standard for Smaller Entities).
IRIS customers: compliance, guaranteed.
Again, IRIS has been first to market in introducing the ability to produce FRS 101 and 102 accounts, including early adoption back in October 2014.
We also have FRS 101 and 102 iXBRL capability in IRIS OpeniXBRL and this will form part of our spring release for IRIS Accounts Production.
How will other providers cope?
As the new taxonomies for FRS 101 and 102 are semantically different from UK GAAP, conventional remapping from one taxonomy to the other is not possible.
Consequently, some existing systems will find it hard to handle the transition in a straightforward manner, which could result in delays.