XBRL US seeks public review and comment on version 11 of the Data Quality Committee (DQC) rules. The DQC rules aim to help filers limit mistakes and avoid data inconsistencies that can adversely affect analysis of reported financial information. The eleventh set of rules includes guidance for issuers using either the US GAAP or IFRS taxonomies.
The rules in this release are as follows:
- DQC_0001 (Axis with Inappropriate Members): This rule enforces that certain axes within the US GAAP taxonomy should only have certain members as shown in the US GAAP taxonomy. The rule tests if these axes have inappropriate members.
- DQC_0080 (Negative Values): This rule applies to only IFRS taxonomies, which was designed so that a vast majority of the elements are positive. The rule tests if values for a set of elements are negative. It does not test members when a specified member is present that would allow the element’s value to be negative. DQC_0015 Negative Values applies to the US GAAP taxonomy.
- DQC_0085 (Deferred Tax Assets & Liabilities): This rule indicates when the incorrect deferred tax elements have been used between the balance sheet and the notes to financial statements. The US GAAP taxonomy defines specific elements that should be used in the notes to financial statements because tax liabilities and tax assets cannot be netted across tax jurisdictions.
- DQC_0086 (Transition Tax Elements): This rule identifies where filers have used tax elements that are no longer applicable because of changes in the accounting standards related to taxation.
- DQC_0087 (Breakdown of Operating Lease Liabilities Across Financial Statement Line Items): This rule identifies 10-K, 10-K/A and 20-F filings where the filer has operating lease liabilities but has not included those operating lease liabilities in the financial statements. In such cases, it is expected that the filer would indicate which financial statement line item includes the operating lease liability.
- DQC_0088 (Operating Lease Cost and Expense): This rule identifies 10-K, 10-K/A, and 20-F filings where the filer has not reported the operating lease expense but not the operating lease cost.
- DQC_0089 (Invalid Elements Used on Range Axis): This rule indicates where filers have incorrectly used either OperatingLeaseWeightedAverageRemainingLeaseTerm1 or FinanceLeaseWeightedAverageRemainingLeaseTerm1 with the range axis. In this case, the rule will flag an error.
- DQC_0090 (Incorrect Calculation of Lease Liability Payments Due): This rule identifies 10-K, 10-K/A and 20-F filings where the concept LesseeOperatingLeaseLiabilityPaymentsDue is not equal to the sum of OperatingLeaseLiability and LesseeOperatingLeaseLiabilityUndiscountedExcessAmount. In addition, the rule identifies where the concept FinanceLeaseLiabilityPaymentsDue is not equal to the sum of FinanceLeaseLiability and FinanceLeaseLiabilityUndiscountedExcessAmount. The rule applies if either of the addends appears in the filing.
The public review period for these proposed rules runs from November 18, 2019 to January 3, 2020. Generally rules are considered for approval within 45 days of public review and effective 90 days from approval. To make comments, you must be a member of XBRL US.
Sources:
Public Exposure of Validation Rules & Guidance (xbrl.us)
