The SEC has completed the development of data tags for GAAP, a major milestone in moving financial reporting toward interactive XBRL format. The taxonomy includes 12,000 different data elements. The SEC will now focus on developing recommendations as to when use of the new format will be mandated, although a recommendation is not expected until Spring 2008 and a timing decision is not likely before Fall 2008. In the meantime, the XBRL pilot program continues to expand. Visit XBRL.us to learn how to participate in the SEC's voluntary filing program.
Excerpt from CFO.com
XBRL is intended to save investors and analysts time when comparing companies across industries and could eventually simplify and accelerate the financial reporting process. Critics have argued that overhauling how they report data will be costly and time consuming.
The SEC's pilot program is growing. Last week the commission announced that the combined market capitalization of companies submitting interactive data financials to the SEC has surpassed $2 trillion. More than 40 companies are taking part in the program. Earlier this month NYSE Euronext said it will join that group of companies, a move which Cox called a "milestone in the evolution" of interactive financial filing.
GAAP Goes Interactive
September 25, 2007