XBRL enabled Financial Reporting is not new to India,it was one of the initial untries who adopted the XBRL enabled Financial Reporting in as early as October of 2008;though the spe of reporting was very limited.It was introduced on a larger scale in the Financial Year of 2010-11.In India,a majority of mpanies follow the Financial Year starting the 1st of April and ending on the 31st of March.In the 1st year of applicability,approximately 25,000to 30,000mpanies were vered,which nstituted merely 3%of approximately 900,000mpanies registered in India with the Ministry of pany Affairs (MCA).

Recently,we mpleted the 2nd year of XBRL enabled Financial Reporting for mmercial mpanies.

In the 2nd year (Financial Year 2011-12),it was expected that the number of mpanies vered for XBRL Reporting would be increased to at least twice of the present number,but it was kept at the same level.The tagging requirement in the 1styear was not very elaborate,which impacted the quality to a greater extent.So,instead of increasing the number of mpanies vered for XBRL reporting,MCA increased the spe of detailed tagging and asked the mpanies to focus on quality of data nversion in XBRL format.

To achieve the real benefit of XBRL enabled Financial Reporting,all mpanies need to be brought under the applicability and a mass cation cum Training and Development program should be launched by MCA in llaboration with various Professional Bodies and rporate Institutions.Furthermore,MCA also needs to focus on the quality of XBRL software being developed by the software mpanies.

MCA’s verdict on the quality aspect for 2nd year filing is awaited,and at the close of 3rd Financial Year (2012-13)there is no clarity about the class of additional mpanies to be vered under XBRL reporting.Timely mmunication on this aspect will help mpanies to prepare themselves in advance to adopt XBRL reporting.