The Dutch Chamber of Commerce (KVK) has mandated that, starting from the 2025 financial year, all legal entities must file their annual reports electronically via Standard Business Reporting (SBR). This change aims to streamline the filing process, enhance efficiency, and support the ongoing digital transformation within the business community.
Companies can choose between the XBRL and iXBRL formats for electronic filing. When choosing, companies must consider their reporting needs and flexibility requirements. Classic XBRL is a standardized format that mandates conformity to predefined structures, limiting the scope for customization. In contrast, iXBRL offers greater flexibility, allowing companies to tailor their annual accounts to better reflect their unique circumstances and preferences. This discretionary approach can enhance the clarity and relevance of the financial statements, making them more informative for stakeholders. Find more details in this blog post.
Scope and implementation
The electronic filing requirement applies to all legal entities, including those previously exempted. From financial years that started on or after January 1, 2025, these entities must file their annual reports electronically.
The phase-in approach for creating reports includes voluntary guidance that entities can adopt until it becomes mandatory for financial years starting on or after January 1, 2026. During this period, small and medium-sized legal entities opting for the iXBRL format are temporarily exempt from tagging the notes to the financial statements. However, from January 1, 2026, block tagging of the notes, management report, and other information will become mandatory. This block tagging will require less detail compared to current practices, as it will involve tagging sections as a whole rather than individual figures. This phased approach allows entities to gradually adapt to the new requirements, ensuring a smoother transition.
Comparison between SBR and ESMA reporting
The reporting manual of the SBR framework in the Netherlands is based on the ESMA framework for ESEF reporting. The KVK mandate comes with its own taxonomy. The guidance largely aligns with the ESEF guidance, but has a few notable differences:
- Language of labels: SBR requires labels to match the report language (Dutch, English, German, or French), whereas ESMA encourages broader language use.
- Tagging elements of Annex II: SBR specifies the use of a separate iXBRL document for the reporting of certain concepts mentioned in Annex II of the RTS. Concepts are, among others, the Chamber of Commerce Registration Number, Legal Entity Name and Size.
- Marking up notes and accounting policies: SBR includes management reports and other information with voluntary guidelines, whereas ESMA focuses on notes and accounting policies.
Lucanet's XBRL Tagger: your solution for compliant iXBRL filing
Lucanet's XBRL Tagger stands out as the best solution for creating Inline XBRL reports. Proven by the creation of thousands of ESEF reports, Lucanet's XBRL Tagger offers several advantages:
- Ease of use: The tool is designed for user-friendly handling, enabling users to tag their annual reports without requiring extensive IT knowledge.
- Time efficiency: Features like auto-tagging and mapping significantly reduce the time needed to create reports.
- Flexibility: The XBRL Tagger supports various data formats, including MS Word and PDF documents.
For businesses transitioning to electronic filing, Lucanet's XBRL Tagger is an invaluable tool, ensuring that their reports are accurate, compliant, and efficiently produced.
Need help with your KVK iXBRL filing? Contact us to discuss your specific requirements, see how our platform handles the Dutch mandate, or get started with your first filing. The April deadline is approaching!
