Presenter: Nick DaltonManager, e-Business Services

MINISTRY OF ECONOMIC DEVELOPMENTREPORTING TO THE NEW ZEALAND COMPANIES OFFICE USING XBRL

Contents

Filing statistics and the status of the NZ Companies Register Filing obligations under the Financial Reporting Act The new way to communicate with the NZ Companies Office Our first XBRL initiative – the Annual Return Where to from here with XBRL

The NZ Companies Office and XBRL

Statistics - Internet versus Paper Filings – March 2004

1

New Companies - Mar 04

Manual2%

Online98%

Annual Returns - Mar 04

Manual10%

Online90%

Appointment of Receivers & Liquidators - Mar 04

Manual31%Online

69%

Director Changes - Mar 04

Manual11%

Online89%

Financial Accounts - Mar 04

Manual100%

Change of Name - Mar 04

Manual15%Online

85%

The NZ Companies Office and XBRL

Entity Type Total @ 20 April 2004

Required to file Financial Accounts with Companies Office

NZ Companies 344,549 (approx 9869 under FRA)

Incorporated Societies 22,967 YES

Charitable Trusts 15,189 NO

I & P’s 288 YES

Overseas Companies 1,188 YES

Total Entities on Register

384,181

Statistics - the electronic register

2

www.companies.govt.nz

The NZ Companies Office and XBRL

Other Registers maintained by the Companies Office that require financial information to be registered

Securities Act Register Co-operative Companies Register Building Societies Register Contributory Mortgage Brokers Register Friendly Societies Register Credit Union Register Unit Trusts Register Superannuation Schemes Register

3

The NZ Companies Office and XBRL

Filing Obligations under the Financial Reporting Act 1993

The following companies must register their financial statements with the Companies Office:

Issuers of securities to the public; Overseas companies; Subsidiaries of a company or body corporate incorporated outside New Zealand; and Companies with more than 25% overseas shareholding.

Financial Statements, an auditors report and the prescribed fee of $100 are required to be filed

Must complete financial statements within 5 months of balance date and register within a further 20 days

These filing obligations assist with making financial information transparent to the general public

This legislation is currently under review by MED

4

The NZ Companies Office and XBRL

The new way to communicate electronically with the Companies Office

Government to Business (G2B) connections with MED

Current HTTP searching system being replaced with a G2B XML Web Service based solution

Four phase project: Company Searching Logging Company Changes Annual Return Service Advanced Searching

All products to be developed to be platform, technology and partner independent

5

The NZ Companies Office and XBRL

Our first XBRL initiative – The Annual Return

Development of an Annual Return taxonomy A tool for accounting software providers Reduces compliance costs for accounting software clients to complete filing obligations with the Companies Office A framework will then be established to develop further XBRL initiatives easily as required

6

The NZ Companies Office and XBRL

7

COMPANIES

Accounting Specialists

Bank System

Database

Companies Office

Webserver

Accounting Firms System

Accounting Software

www.companies.govt.nz

http

LAN / WAN

Step 1: Enter Annual Return data into accounting software and print AR

Issues to consider:1. Duplicate data entry (inefficient)2. Is the data identical (data integrity)

Step 2: Using printed AR complete Annual Return registration atwww.companies.govt.nz

1 2

Current system for accounting software users to file Annual Return

The NZ Companies Office and XBRL

8

Issues considered:1. Single point for data entry (efficient)2. Data in both databases is identical

The proposed new alternative to file Annual Return

COMPANIES

Accounting specialist

Bank System

Database

Companies Office

Webserver

Accounting Software

LAN / WAN

1

4

2

4

Accounting Firms System

Steps:1: Request Company Annual Return Web Service2: Respond with current company details via XML using XBRL taxonomy3: Update information so accurate representation of company4: Submit Annual Return to Companies Office and in-house database simultaneously

3

The NZ Companies Office and XBRL

Where to from here with XBRL:

Liaise closely with industry to ensure they are provided with electronic services that serve their needs Liaise closely with XBRL-NZ The decision to introduce other XBRL initiatives will depend upon demand from industry and other Government departments Automate compliance reminder system for all reporting entities and then provide for a purely electronic service

9

www.med.govt.nz

Nick DaltonManager e-Business Servicesnick.dalton@business.govt.nz(09)916-4546021-513-496

MED is the Businesswww.companies.govt.nzwww.govt.nzwww.iponz.govt.nzwww.ppsr.govt.nz

www.ewr.govt.nzwww.insolvency.govt.nz

www.motortraders.med.govt.nzwww.rsm.govt.nz