Preparation of MBRS Report - Financial Statements 6 -Statement of Changes in Equity

The first step in the procedure for preparing Statement of Changes in Equity is clicking on Edit Components of equity. It deselects the components of equity to disclose, and an option windows pops up.

Below is the step-by-step guide and illustration on how to prepare Statement of Changes in Equity (“SOCIE”).

N1 - Click on the “Edit Components of equity” to deselect the components of equity to disclose. It will then populate an option window.

N2 - Deselect the components of equity which are not reported in the entity’s FS. Click on “Apply” and changes will be made where only chosen components will be disclosed.

·         Issued capital - share capital/paid up capital of the Company

·         Retained earnings - accumulated profit/loss of the Company

·         Treasury shares - share repurchase (only applicable on listed company)

·         Capital reserve - general capital reserve

·         Hedging reserve - resulting from hedging accounting

·         Foreign currency translation reserve - resulting from retranslation of of foreign-currency denominated financial statements

·         Reserve of share-based payment - equity portion of share-based payments

·         Revaluation reserve-  resulting from revaluation surplus of property, plant and equipment or intangible assets

·         Statutory reserve - statutory reserve as may required by law or regulation

·         Fair value reserve - resulting from fair value measurement of financial instruments

·         Consolidation reserve - resulting on consolidation/merger accounting

·         Non-controlling interest - equity in subsidiary attributable to non-controlling interest

N3 - Fill in all the relevant disclosures for the current year as per the FS and ensure that the figures are equal to the FS.

N4 - For the “Equity attributable to owners of parent” column and “Total” column, preparers may use the “Auto calculate” function in the toolbox to sum up all the figures in these columns. Click on one empty cell in either one of the column, and click on the “Auto calculate” button.

N5 - Repeat steps N3 and N4 for the disclosure of statement of changes in equity for prior year.

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Filing Requirements & Process of Malaysia Business Reporting System

The mTool is given by SSM for free to encourage organizations to use of XBRL document of Financial Statements, Annual Return and Exemption

How to download MBRS tool?

Application.

I. Download mTool from www.ssm.com.my

ii. It would be ideal if you go through the User Manual available for download on the site www.ssm.com.my

Client will have the alternative to download the 32-bit form or 64-bit form of the application.

To check which form of the working framework your PC click on and , go

to: https://support.microsoft.com/en-us/help/827218/how-to-determinewhether-a-PCis-running-a-32-bit-rendition or-64

mTool must be kept running on PCs utilizing Windows Operating System

furthermore, with Microsoft Office (2007, 2010 and 2013 versions).

Important Guidelines Regarding Malaysian Business Reporting System.

Below we have mentioned some points that you need to know before using Malaysian Business Reporting System.

•     If you have wrongly selected options in Filing Information during preparation of financial statement,which will affect the result for the generated template. However,there is an option to edit filing information and make necessary changes.

•    Currently auto population feature for financial statements is not available in MBRS system.

•   The information provided in financial statement filing will be verified at time of uploading the document on mPortal. The system will check the auditor details who was liable at the time of financial year end date.

•   MBRS supports dual language; English and Bahasa Malaysia. As of now only English language is made available.

•       User can view the error highlighted in error window and on clicking particulars error it will navigate to that particular cell where there is error.

•    SSM can view and download XBRL file submitted to SSM through mPortal, SSM can see all the details.

•   Guidance is available on these templates in which expense item require negative sign

•     Companies can apply for rectification application if there is any correction or amendments to be made in the submitted filing.

•   It is not advised to use PDF as source of information for copy paste.

How do I access the mPortal?

1. Access SSM’s website www.ssm4u.com.my

2. Register as an SSM4U user.

3. Follow instruction in the notification e-mail and visit the nearest SSM

office for validation as an SSM4U user.

4. Log-in e-Services and click MBRS icon to access mPortal.

To Conclude:

Malaysia Business Reporting system is one of the renowned platform for creating financial statement. Once the business owners understand this platform can use it for their advantages.We hope now you know how to access Malaysia Business Reporting Platform. In the event, if you need any help regarding filing financial statement you can contact to us – AccPlus, with our professional help on MBRS conversion and filing.

The requirement of filling the MBRS

Financial reporting, not an easy task, it always considers the lots of paperwork with an intensive report which offer  financial information about an organisation.. The Malaysian Business Reporting System (“MBRS”)helps in converting the financial data into some enlightening data. It is digital submission platform introduced by SSM based on the eXtensible Business Reporting Language (“XBRL”) format in 2018. MBRS requires all companies whether it is a private company or public company registered in Malaysia to submit their annual financial statements in XBRL format to SSM once in a year.

Who will be required to file-All companies which are registered in Malaysia with SSM is required to file the annual financial statements in XBRL format (estimated to be effective from 2021).Currently,all the annual financial statements are filed in hard copy over the counter at SSM Office.

Who are exempted for filling:- Every company registered in SSM is required to file annual financial statements in XBRL format, but there is certain categories which are exempted to filling the annual financial statements in XBRL. For example, insurance institution, banking and also financial institution which are regulated by the Bank Negara Malaysia. All other companies are strictly required to file full sets of Financial Statements unless exempted by SSM. EA2 (Application for Exemption from Filing Financial Statements in Full XBRL Format), must be submitted and approved by SSM before a company is allowed to submit a Key Financial Indicators (“KFI”) instead.

Type of fillings:- The Different type of statement which needs to be filed are:-

1.      Financial statements for the private companies on Malaysian Private Entities Reporting Standards (“MPERS”)

2.      Financial statements for Public or Privatecompanies on Malaysian Financial Reporting Standards (“MFRS”)

3.      Financial statements for companies limited by the guarantee on MFRS

4.      Financial statements for exempt private companies which only require disclosure in the auditor report and certificate of exemption.

Type of exemption filling:- Inrelation to the submission through MBRS, there are certain exemption for filing which companies can apply on the MBRS portal:

·EA1- This application is concide with foreign subsidiary financial year ended with holding company.

  EA2- This application is to apply exemption from filling financial statement in the full XBRL format.

· EA3- This application is for the foreign company to waives the lodgement of financial statement.

·EA4A- This application is for the relief from the necessity of the content in the report of the director.

·EB4A- This application is for the relief from the requirements as to form and content of financial statements

·EA5A -  This application is for giving time extension for circulation of financial Statements and Reports

·EA5B – This application is for extended time for lodge report and financial statement

  EA6- This application is used for extended the timing to hold annual general meeting

· EA8- This application is for ministry approval on filing of annual financial statements

All exemption application must be submitted and approved by SSM before filing relevant financial statements or KFI on MBRS portal.

Outsourcing makes it easier to effectively meet MBRS filing requirements

For companies in Malaysia, filing of business documents such as Financial Statements/Reports (FS), Annual Returns (AR) and Exemption Applications (EA) come across as quintessential. The Malaysian Business Reporting System (MBRS) was launched by Suruhanjaya Syarikat Malaysia (SSM) in Sep 18’. This requires the Companies to submit their documents online

Businesses can send a participant for MBRS training. They also have an option to outsource the process for MBRS filing to an expert. It allows a professional to ease your trouble and give you peace of mind that your MBRS filing are properly taken care of by the expert.

Outsourcing the MBRS filing services to us. you can be assured that they will efficiently be completed on time. Asthe MBRS expert, our team arewell trained for the assignment and would be possessed with the relevant knowledge and experience, which enables him to make a submission of the documents in complete compliance with SSM regulations.

This lets an organization save upon energy along with time, which can be focused on your businesses. It ensures peace of mind for the business owner, with us working closely with your team.. They offer timely updates and necessary information about the data and filing.

Having the filing assignments outsourced to usy also gives rise to valuable insights that the MBRS experts can share with business owners. It can enable a company to decide if its operations are in sync with its goals or a few changes need to be introduced.

Our team have a detailed knowledge of eXtensible Business Reporting Language (XBRL) and have detailed insights about how it works. Similarly, we also have an expertise in SSM taxonomy and the mTool, or the MBRS preparation tool. T

Our services are available for small, medium and large enterprises alike. Upon getting your financial statementin softcopy for filing,  our teamwillhelp on file conversion to MBRS file. The MBRS file will be sent to and lodged by Company Secretary  on the SSM website.

Evaluation of Malaysian Business Reporting System - MBRS

In compliance with the laws that prevail in Malaysia, all companies, both public and private companies must register themselves with Suruhanjaya Syarikat Malaysia (SSM), which is the Malaysian regulator, also known as the Companies Commission of Malaysia. The companies are required to submit their financial information to SSM every year.

With the financial information submitted, the regulator not just enhances the supply of corporate information, but also creates a channel wherein the public can analyse the information.

Malaysian Business Reporting System (MBRS)

Malaysian Business Reporting System (MBRS) has been incorporated by Companies Commission of Malaysia (SSM). It is a submission platform for companies incorporated in Malaysia, for submission of financial statements and exemption application, as required under Companies Act 2016.  It is based upon eXtensible Business Reporting Language (XBRL) platform.

Each of the companies registered in must also file their annual returns, within 30 days of the anniversary of its incorporation date. Annual Return gives an overview of a company’s directors, addresses and activities.

The three main components of MBRS submission platform are:-

1.       The XBRL taxonomy

2.       mTool or the preparation tool

3.       mPortal

Businesses and other stakeholders, such as banks, investors and regulators, all benefit from MBRS. This is owing to the enhanced usability of financial statement information as facilitated by XBRL, which enables the stakeholders make sound economic decisions and design policies.

XBRL is a standard of reporting which many advanced countries already use for reporting financial information. Some of the prevalent regulators are:-

1.       Security and Exchange commission (SEC), USA

2.       Her Majesty Revenue and Customs (HMRC), UK

3.       Accounting and Corporate Regulatory Authority (ACRA), Singapore

4.       Australian Securities & Investments Commission (ASIC), Australia

The aforementioned regulators have mandated all companies that are listed publicly (or even private companies in some countries) to essentially use XBRL for reporting their financial information. In Malaysia, SSM is among the recent adopters of XBRL.

In Malaysia, the voluntary reporting phase by using XBRL first started in October 2018. The mandate was designated to be rolled out in phases, and is currently set for companies with financial year/period ended 31 December 2018 at the moment (pending for SSM further announcement).

The key differences in current submissions and submissions via MBRS platform is that the documents are submitted online via MBRS platform than submitting hardcopy of financial statements over the counter. Similarly, the MBRS platform allows companies to make annual return, exemption applications and financial statements via mTool. The need for paper based documentation is hence done away with.

The similarity of MBRS platform with present submission format is that the submissions need to be made by company secretaries.

Implementation of MBRS does pose some challenges for businesses. Let’s take a look at them.

1.       The preparation tool is made based on IFRS taxonomy (localized for MFRS/MPERS and Companies Act 2016 requirements) and a vast majority of information for MBRS financial statements is derived from audited financial statements. The audited financial statements should contain necessary information and disclosure items for filing up the MBRS report.

This requires a preparer to be familiar with accounting and have sufficient technical knowledge of accounting. The challenge is also the first adoption of MBRS report require comparative figures to be populated and businesses may have difficulties in meeting the filing deadline.

2.       A sound technical knowledge of financial reporting is also essential for tagging the elements in MBRS reporting, which are over 8000 in reporting fields (in MFRS/MPERS and Companies Act 2016)..

The factors may call for outsourcing the work and company directors and SSM alike would be very particular about the assurance that the financial statements have been tagged right.

Acc Plus comes across as a preferred choice for filing financial statements, exemption returns and annual statements in compliance with MBRS. We have a well established team that has a good track record in financial reporting and regulatory compliance for over 20 years. Our team of accountants is well versed in Malaysia Accounting Standards and XBRL.

How to Select the Malaysian Business Reporting System

How to Select the Malaysian Business Reporting System

If you are running Business Company in the part of Malaysia, it is requested to register with Suruhanjaya Syarikat and Malaysian Regulator. Therefore the companies must submit the financial data to the part of the SSM at least once a year. The main role of these systems is to promote and deliver corporate information. Then it can develop a major facility whereby the people can find out and analyses the corporate information. MBRS is a submission of the platform which is based on the extensible business reporting languages. It allows for the major submission such as the Annual return, a financial statement as well as the report, exemption application related to the AR and FS. A major component of MBRS:

SSM Taxonomy:

It is a dictionary of the nonfinancial and financial elements of the EA, FS, and AR which embedded in the part of the MBRS preparation Tool.

MBRS preparation Tool:

Malaysian Business Reporting System tools are new and update preparation tools for Microsoft excel which let the firm to make the right document online as well as offline. Then it can generate AR and EX in the format of the XBRL.

•    Build with the SSM xT browser

•    MS excel add over the application

•    Support both online and offline features

•    A template is driven and form

•    Data validation checks

•    Applicable to generate major XBRL file such as the FS, EA, AR.

MBRS portal:

It is a direct submission platform to lodge of EA to SSM and Fs, AR and this helps improve major support for the financial.

•   Special features of the M portal:

•   Allow going to the website login

•   Applicable to download a new version

•  Email confirmation and other updated

•  Online payment facility

•  Digital signature

•  Report generation support

•   Online payment support

MBR requirement:

It introduces the various types of filling based on the need below, the Company ACT 2016. Hope it provides special support and solution for the customer to move right support for the business people.

Financial statement:

It filed with the major statement for reporting below the accounting standard as well as the company’s act section.

Important financial indicator:

It has basic financial concepts which found for financial reporting when the filer is not to file complete FS filling in part of the XBRL.

Exemption application:

It is applicable for the end to end registered person to file for the respective exemption over the compliances with the presence of SSM.

Annual return:

It is requested to file all annual returns, according to the Companies Act 2016.

Reason for the Adoption of the XBRL:

•    It can reduce the time and cost of the collect the financial as well as the non-financial data and it can save over the data entry efforts as well as the conversion of the data according to the less human intervention.

•     It can find out the report for the taking right decision for the stakeholder.

•   XBRL lets to deliver the SSM as well as the other regulator with the detailed data and it can aggregate and also supports to investigate the major efforts and other compliance.

Hope the people who are running the major business, they are suggested to go with the Malaysian Business Reporting System and provide the best result for them and it assures to move the best support to make more income in a very short time. Though, these systems build with the various tools that let to provide real comfort to manage the financial support and other solution.  

Know What MBRS Is?

Know what MBRS is?

In this digital era, we are seeing everything in the automating and digitize version. In fact, the financial operations are carried out smoothly when it literally manages with better outcomes. For fulfilling the digital requirements, Suruhanjaya Syarikat Malaysia (SSM) is also climbing the process which is introducing the Malaysian Business Reporting System (MBRS). The entire system could be accessed towards delivering extensible business reporting language taken in XBRL format. The overall procedure could be executed based on digitalizing financial and non-financial data & reports. It also applies to company annual returns submission. 

Why MBRS is important?

Most importantly, MBRS is an online tool which helps the companies to access and submit overall financial reports and returns without any risks. This is managed by undertaking overall results furthermore increase accessibility. It is always providing with the best results and thus financial returns are soon grabbing with the page reports. This tool takes away the stress and does everything on the computer on an excel sheet. It is now submitting through online carry out more things without any hassles. This can be carried out by attending SSM workshop or engaging professional accountants or MBRS experts.

Enhanced data integrity

The MBRS system always deserves financial and non-financial information gather on data entry and others. This involves reporting all come with own benefits and highlights some data formatting because of financial reports. It shows the best possible solution by being translated with multiple languages. It is now grabbing enhances data integrity and reliability for accessing with financial and other reports. This is managed by grabbing the most important things to carry out for financial results and reports. It is flexible for handling multiple languages and gathering financial as well as other reporting. It is based on the digital transmission that is required by the Accounting Standards (e.g. MFRS or MPERS) Companies Act 2016.

Report fillings and results

MBRS includes recent development so far identified in making proper approaches to reporting and filling in forms. They can be easily aligned and digitalized and done online. It quickly enhances accounting standards for carrying out the most important solutions for your need and desires. It could easily eliminate errors when calculating the financial reports. Again, the Malaysian Business Reporting System has been updated with salient features and enhances corporate compliance process because of now all accounts. It includes validating the process that has been delivering in all compliance for analysis of financial MBRS reporting.