One of the advantages of XBRL is the option to validate the information prepared and/or received. There are different options:
- Technical validation
- Content validation
- (External) functional validation or known as a business- or filing rule validation
Technical validation will check the XBRL instance document on its correctness. E.g. is the format of a date put in the correct way (25 May 1974 or 25051974 or 2551974 or 25574 or 5251974 or etc)?
Content validation will check if the XBRL instance document is meeting the set of requirements of the receiving party, such as the tax authorities or chamber of commerce. This can be combined with a check of totals, positive/negative values presented, the availability of mandatory concepts to be present, logical checks, etc.
Functional validation will allow performing a check on the correctness of reported data to external parties. E.g. is the fiscal number existing with the receiving tax authorities, is the real estate registered, etc.
We see that in various taxonomy definitions content and functional validation are available and defined within the taxonomy set to be used. It’s good to know that regulators also define rules that can not be defined within the taxonomy definitions, like syntax order and the existence of XML language tags.
Validation is supported by XBRL specification (core 2.1 and XBRL Dimensions) and by formula linkbases. These formula linkbases offer real-time validation when creating XBRL instance documents.
Semansys provides various XBRL validation processes as technical, content, and functional. It performs the following validations:
- XML validation; only XBRL instance that are XML valid will be used for further processing.
- XBRL Core validation; validate XBRL report if it’s compliant to the XBRL specification 2.1.
- XDT Validation; XBRL Dimensional Taxonomy validation 1.0.
- Formula Assertions validation; business- and filing rules defined within the taxonomy
All validation results will be made available and are directly visible and readable for the user. As per the user’s preference, the results can be downloaded in HTML or PDF format for later usage if needed.