ICAI to develop taxanomy

The Institute of Chartered Accountants of India (ICAI) said it would soon constitute a committee consisting of regulators to develop a taxanomy for the promotion of Extensible Business Reporting Language (XBRL) in India.

The committee will comprise regulators and stock exchanges including the RBI, SEBI, Ministry of Company Affairs, IRDA, BSE and NSE.

"We have decided to constitute a committee which will consist of 10 to 12 members for the development of taxanomy. Taxanomy is a dictionary of financial terms," said ICAI President T N Manoharan.

The committee will be constituted by next month. ICAI's council had discussed the need for promoting XBRL in India. XBRL is a technology-cum-accounting language which will facilitate financial reporting in a uniform manner. Around 11 countries have already introduced XBRL.

ICAI has also finalised the adoption of the systems audit standards in India, which would allow members with Diploma in Information Systems Audit qualification to avail the benefits of these standards in the systems audit discipline.

The institute is in the process of signing an MoU with the US based ISACA (Information Systems Audit and control Association).