XBRL For Tax Compliance

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XBRL For Tax Compliance

• 9th International XBRL Conference
• Wednesday, May 12, 2004 Special Interest Group
  Day
• XBRL for Preparers Accountants, Corporates
  Small-Medium Enterprises (SMEs)
• Eric E Cohen, XBRL Global Technical Leader,
  PricewaterhouseCoopers

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Agenda

• In this session you will learn about
• Steps tax regulators are already taking to beg,
  ask or demand standardized data and the possible
  effects on you
• How XBRL, and particularly XBRL GL, the Journal
  Taxonomy, can revolutionize tax planning,
  preparation and filing
• XBRL plans of leading tax regulators around the
  world.

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Tax Regulators and Standards

• Individual jurisdictions and regulators
• Global efforts
• OECD
• Tax XML
• Designs
• Tax-specific solutions
• Form parallel
• Standard Audit File
• Standard Tax File

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XBRL and XBRL GL Revolutionize Tax

• Facilitate process improvement
• Planning
• Preparation
• Filing
• Assisting all parties
• Companies
• Software providers
• Tax preparers
• Regulators

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Why are Tax Authorities Looking at XBRL?

• EFiling, eGovernment and other efforts
• Representing current eFiling in friendlier face
• Financial statements and information
• Same payload useful for many purposes, comparable
• Note different jurisdictions and the books
• Universal audit trail
• From transactions through the business reporting
  supply chain
• Other business information
• XBRL Summarized, aggregated, filtered, (sorted)
• XBRL GL Underlying detail

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Tax Regulators and XBRL

• Australia
• Canada
• Germany
• Netherlands
• Japan
• UK
• and others

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Tax Thinking Outside the Boxes
TAX FORM
FINANCIAL STATEMENT
TAX INSTRUCTIONS
Operational Data
Corporate Data feeds direct access or extracts
Paper Support
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XBRL GL One Framework

• One format
• Optimized for business reporting information
• Attributes of business reporting information
• Needs of business reporting information
• Lowering preparation/compliance burden
• Smoother collection of data of all kinds
• Reduction of things published to reconcile and
  track
• More common adoption by software developers
• Web Services

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XBRL GL Fills the GAPS between GAAPS
Detail to summary
Intra system
Detail
Accounting recognition/ classification
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XBRL GL and Taxation

• Tracking tax-specific accounts
• Allowing tax specific journal entries
• Mapping to tax taxonomy elements
• Document details for Tax/VAT
• Inventory details
• and much more!

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Demonstrations

• The future of tax may be as simple as this

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For more information

• Eric E. Cohen
• eric.e.cohen_at_us.pwc.com
• 1-585-271-4070