XBRL for MBRS Filing: What is the Difference Between AR and FS?
Before 2018, Malaysian companies relied on manual submissions for their annual filings to the Companies Commission of Malaysia (SSM). To modernize and enhance transparency, the SSM introduced the Malaysian Business Reporting System (MBRS), mandating XBRL submissions. This shift requires all registered companies to file their reports in XBRL format, streamlining the ssm ar filing and overall compliance.
The MBRS system requires the annual submission of:-
- Financial Statements and Reports (FS)
- Annual Return (AR)
- Exemption Applications (EA)
Since its 2018 launch, numerous financial statements and annual returns have been successfully submitted through MBRS. However, to ensure compliance and avoid penalties, understanding the distinction between AR and FS is crucial for successful mbrs annual return and mbrs ar filing.
What is an Annual Return?
An annual return is the summary of the company’s profile, consisting of its general information, filed every year with the SSM. It must be signed by the director and submitted within one month after the company holds its Annual General Meeting (AGM). The contents of an annual return include:-
- Address of the registered office
- Business office address
- Branch office address
- The primary business activities of the company
- Total authorised capital registered
- Total paid-up capital
- Particulars of the company directors
- Appointed company secretary
- List of shareholders
Essentially, the annual return serves as a notification to the SSM of any significant changes in company information. Ensuring timely and accurate submission is vital to avoid penalties related to malaysia ar filing.
What is a Financial Statement?
The company’s annual financial statements reflect a true and fair picture of the performance and position of a company. It includes the income statement, balance sheet, and statement of cash flows. Unlike annual returns, financial statements are lengthy reports that require the expertise of a professional for preparing XBRL AFS.
The company’s directors are responsible for preparing audited financial statements within eighteen months from its incorporation and afterwards within six months of its financial year-end. Furthermore, the financial statements must be prepared as per the Malaysian Financial Reporting Standards (MFRS) or Malaysian Private Entity Reporting Standards (MPERS).
Seek Professional Assistance to Prepare Error-Free Financial Statements
While XBRL annual returns are simpler to prepare, companies may find it challenging to prepare their annual financial statements in XBRL format. But fret not; all you need is an experienced XBRL vendor to convert your financial statements into an XBRL format without any errors. Enter Datatracks…
If you are looking for financial experts who specialise in SSM taxonomy and XBRL reporting under both MFRS and MPERS standards, DataTracks is your best choice. DataTracks has an expert team of professionals specialising in providing XBRL service for MBRS filing with SSM. With experience of 19+ years in preparing error-free, compliant reports, DataTracks assure quality and reliability in each report generated.
So what are you waiting for? Speak with an XBRL expert or email at enquiry@datatracks.my to make your way towards hassle-free preparation and filing of AFS with SSM.
Frequently Asked Questions (FAQs) on MBRS Annual Return Filing in Malaysia:
What is the deadline for filing the MBRS Annual Return in Malaysia?
The Annual Return must be filed within 30 days from the anniversary of the company’s registration or incorporation date in Malaysia 2.
Who is required to file an Annual Return in Malaysia?
All registered companies in Malaysia, including local companies, foreign companies, and Exempt Private Companies, are required to file an annual return 2.
What information is required for SSM annual return filing?
The annual return includes company details (name, registration number, address), director and shareholder information (names, identification details, shareholding structure), registered office address, business activities, share capital summary, and particulars of the company secretary 2.
What are the penalties for late filing of the annual return in Malaysia?
Penalties include fines up to RM 50,000, potential daily fines of up to RM 1,000 for continuing offenses, and the risk of the company being struck off the register for non-filing for three consecutive years.
What is the role of a Company Secretary in MBRS annual return filing?
The Company Secretary plays a crucial role in managing the preparation and submission of the annual return through the MBRS portal, including digitally signing and lodging the return.
What are some common issues faced during MBRS annual return filing?
Common issues include login problems, file format errors, and difficulties with XBRL tagging. We at DataTracks, in-house MBRS XBRL experts, can help mitigate these issues.