The enhanced version of Revenue's On Line System (ROS) that will allow taxpayers and practitioners to submit financial statements to Revenue in iXBRL format will be released on 23 November 2012. Some progress has been achieved in deferring or ameliorating the more costly aspects of iXBRL implementation for taxpayers and the firms which act for them.

Per the original Revenue proposals, their iXBRL project was to extend not just to accounts, but to tax computations and returns both for Income Tax and Corporation Tax. Its use was to be mandatory for taxpayers handled by Large Cases Division, by September 2013. Over the course of our discussions with Revenue, it has been clarified that the focus of the iXBRL project is to be accounts rather than on returns; the standard ROS system will continue to apply for Form 11 and Form CT1 for the foreseeable future.

It is also intended that in so far as iXBRL usage becomes mandatory, it will be mandatory from October 2013 for companies in respect of filing dates on or afterwards. In effect, for the majority of corporate taxpayers, the first filing season for which iXBRL will be mandatory falls in 2014. These clarifications should assist LCD cases in preparing for the changeover by ensuring that the focus is on the accounts process. For most practical purposes, the changeover will first apply where the accounts year end date is in 2013. Revenue will not seek to have any details filed in iXBRL over and above those already contained in the standard statutory accounts.

According to Revenue's recent press statement, receiving financial statements in iXBRL has the “potential to shorten processing and turnaround times for matters such as repayment claims and also to enhance Revenue's capacity to accurately assess and eliminate risks, potentially reducing the need for intrusive Revenue audits or other interventions for the great majority of compliant taxpayers”. We are in ongoing discussions with Revenue concerning appropriate taxpayer protections when filing using iXBRL, and have put forward suggestions for taxpayer incentives to use iXBRL. The immediate benefits of iXBRL filing will be realised by Revenue, rather than by taxpayers, and a better balance must be struck.

Revenue published Tax Briefing Issue 04 which covers a number of practical points on filing in iXBRL and may be of interest to members. Tax Briefing Issue 04 is reproduced on here.

Revenue has also published FAQs on iXBRL which include information on what iXBRL is and submitting financial statements in iXBRL. These FAQs can be accessed from the Revenue website www.revenue.ie