Applicability Reporting for NBFC – XBRL Filling in India
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Overview on NBFC – XBRL Filling in India
The E-xtensible business reporting language (XBRL) is transforming company reporting all over the world by allowing for the electronic exchange of financial & business data. From financial year 2019–20, the Reserve Bank of India required all NBFCs to submit their NBFC returns in XBRL format. Moreover, we’ll talk about filing XBRL returns for NBFCs in this article.
Advantage of XBRL (E-xtensible business reporting language)
Through the XBRL provides At every stage of company or business reporting & its analysis, XBRL allows a number of advantages which are mentioned below :
- Faster;
- Accurate handling of data
- Improved analysis;
- Automation;
- Upgraded quality of information & decision making.
- Cost-saving;
- Reliability;
Furthermore, XBRL supports consumers and Producers of financial information or data to shift resources away from the time-consuming & expensive manual procedure. With the use of tools that can validate and analyse XBRL information, they may focus their efforts on analysis. It is a flexible language designed to fit for all current reporting practises in different nations and sectors. Even at the level of a individual organizational unit, its flexible nature enables it to accommodate unique business requirements.
What is the Applicability of XBRL returns for NBFCs in India?
XBRL returns for NBFCs is applicable, Even if an NBFC’s assets are worth 2 crore (which is going to increased to 5 Cr), it still applies to them. There are many XBRL return types that are submitted by various NBFCs with different Asset sizes.
Kind of XBRL Return Filling with RBI | Applicability on Different Assets Size |
Important Financial Parameters – DNBS- 02 | Applicable for Nonbank financial companies (NBFCs) with assets size below 100 Cr. |
Statutory Auditor Certificate – DNBS- 10 | |
Overseas Investment Detail – DNBS- 13 | |
Important Financial Parameters – DNBS- 02 | For Nonbank financial companies (NBFCs) with assets between 100 Cr & 500 Cr. |
Statutory Auditor Certificate – DNBS- 10 | |
Overseas Investment Detail – DNBS- 13 | |
Short Term Dynamic Liquidity – DNBS- 4A | |
Structural Liquidity & Interest rate sensitivity – DNBS- 4B | |
Important Financial Parameters – DNBS- 02 | Small Nonbank financial companies (NBFCs) with Assets Size of 2/5 Cr. |
Statutory Auditor Certificate – DNBS- 10 | |
Overseas Investment Detail – DNBS- 13 |
Role of Login Id & password on filing XBRL returns for NBFCs
The Reserve Bank of India provide the login ID & Password to NBFCs. To file an NBFC return, NBFCs must register a maker & checker login ID and password. The creator & checker will each get an automatic email. The statutory auditor ID should be created by NBFCs in the XBRL system as well. Following the creation of the statutory auditor ID, an automatic email will be generated to the statutory auditor via the XBRL system, instructing them to upload the RBI Return DNBS 10 return.
What is the timeline/due date for filing XBRL returns for NBFCs with RBI?
The RBI XBRL NBFC’s Return must be submitted within the specified time frame as assigned. The due dates are stated as below.
- RBI Return – DNBS 02: The deadline for submitting this return is 60 days after the end of the fiscal year, and it must be filed every year.
- The RBI Return – DBNS 04A: This quarterly return must be submitted within 15 days after the quarter’s end.
- RBI Return – DBNS 04B: This monthly return must be submitted within 10 days after the month’s end.
- The RBI Return – DNBS 10: This is an annual return that must be submitted before December 31 and one month after finalizing the balance sheet.
- RBI Return – DNBS 13: This is a quarterly RBI return which required to be submitted within 15 days after the quarter’s end
Key Points regarding RBI -XBRL Return
Below mentioned points should be considered before RBI – Filing the RBI Return:
- All ND-NSI category Nonbank financial companies must submit the proper returns using both systems (COSMOS and XBRL portal). For the period ending March 31, 2020
- As of March 2021, the RBI will no longer accept online returns from NBFCs of ND-NSI category that have assets under 500 crore rupees and will instead use the XBRL system as the solo online return reporting method.
- First of all, Nonbank financial companies should register them on the XBRL online RBI platform and have to make available the contact information as well as other information about the company’s KMPs in the format required by the RBI. NBFCs should be in touch with the RBI, particularly the department of Non-banking supervision, using their official email address in order to create Super User IDs and make it easier for users to access the new platform. Open the link https://xbrl.rbi.org.in once the login information has been received to access the portal.
- Once they have access to the XBRL portal, NBFCs should create statutory auditor IDs in the XBRL system. The XBRL system will sent the automatically generated email to the statutory auditor after the creation of the user ID for them in order to valuidate the submission of the DNBS 10 return.
- NBFCs are still required to file a DNBS 13 return Even if there are no overseas investments.
Conclusion
Different NBFCs will be subject to different XBRL returns, which is depending on the extent of their Assets & category. The RBI -XBRL returns for Nonbank financial companies should be submitted within the specified time frame of submission. Frequent uses of XBRL reporting format is revolutionizing company reporting all over the world.
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