Accountancy firms request clarity on EU CbCR regulation

Posted on September 20, 2024 by Editor

KPMG and PwC have raised concerns over the draft EU regulations on country-by-country reporting (CbCR), seeking clearer guidance on the use of XBRL for tax reporting. The new rules mandate XBRL for reporting financial data, but specifics on its implementation are lacking, prompting calls for further clarification.

CbCR aims to ensure greater transparency in how multinational companies report profits and tax obligations. However, ambiguity around the related XBRL requirements could lead to reporting inconsistencies, increasing the risk of non-compliance.

Clear and consistent XBRL implementation guidance is critical as it enables high-quality, standardised reporting, reducing errors and improving transparency.

The EU is expected to respond to this feedback in the final version of the regulation - watch this space for updates!

Read more here.