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Welcome to the FMB Chartered Accountants Blog. We answer all of your financial and accountancy questions, as well as keep you up-to-date with the latest news from FMB.

iXBRL filing

David McArdle - Wednesday, May 14, 2014

Phasing in of mandatory iXBRL filing for corporation tax: a brief summary

Since November 2012, those obliged to file corporation tax and income tax returns have had the option to file financial statements in iXBRL format via ROS (Revenue On-line Service). iXBRL (or inline eXtensible Business Reporting Language) is a language that allows financial information to be communicated and presented in a format that may be read and analysed, both by people and computers.




This process involves presenting the data (financial statements) in a normal document format but with iXBRL “tags” embedded in the soft copy document. Tagging involves the application of computer-readable tags to business data, which enables the data to be processed and analysed automatically by software. iXBRL tags are interpreted by reference to a “taxonomy” which is, in essence, a dictionary linking each tag with the concept it identifies.


In line with the approach taken to e-filing on ROS, Revenue is rolling out mandatory filing of iXBRL financial statements for corporation tax payers in stages and has made the necessary changes in Finance Acts 2012 and 2013 to enable this. The first group, cases dealt with by

Large Cases Division (LCD), has been required to do so for all corporation tax returns (Forms CT1) submitted from 1 October 2013 on, for accounting periods ending.


Phase 2 will extend mandatory iXBRL filing to all corporation tax payers, except those meeting the audit exemption criteria below, for Forms CT1 submitted after 1 October 2014 for accounting periods ending on or after 31 December 2013.


The three criteria for exclusion from this phase are

  • The balance sheet value of the company does not exceed €4.4 million;

  • The amount of the turnover of the company does not exceed €8.8 million; and

  • The average number of persons employed by the company does not exceed 50.


These criteria correspond to the current audit exemption criteria; note that to be excluded from the Phase 2 filing obligation, a company must meet all three criteria.


Phase 3 will involve virtually all remaining corporation tax payers (though exemptions may still be available for “inactive” companies or companies in liquidation). It is currently expected that this will commence in 2015. Further details are to be announced in due course.


Companies not yet subject to mandatory iXBRL filing may do so on an optional basis. Revenue strongly encourage companies to use either the optional filing period or the test filing facilities to ensure they are fully prepared for mandatory filing. It seems likely that very few companies within the charge to Irish corporation tax will escape mandatory iXBRL filing.


If you need advice on this area please get in touch with us and call FMB on 01 645 2002.


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Importance of Succession Planning

David McArdle - Friday, March 28, 2014

One of the toughest decisions that any family business may face is whether the business will be passed on to family members or sold by the retiring generation. This decision not only threatens the continuity of the business, but can threaten the family unit itself and often leads to costly litigious disputes. 


There are many other obstacles to successful continuation. Fortunately these can be overcome by detailed succession planning on both a personal and business level.


Initially, most family businesses are straightforward in terms of ownership and management as they develop a relatively simple system of natural governance. However, as a family grows, the demographic changes and the roles of different family members become more complex. It can be difficult to establish, and in particular agree upon, a clear balance of power and to have clarity of roles within the business.


If you need advice on this area please get in touch with us and call FMB on 01 645 2002.


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