Mandate to file annual return, convert AFS to XBRL and file the CIPC Compliance Checklist
PLEASE READ THIS IMPORTANT SECTION
With effect from 01 July 2018, all entities are required to submit their Annual Financial Statements or a Financial Accountability Supplement (CoR30.2) using an XBLR tagging program.
All companies required to submit Annual Financial Statements to CIPC according to the Companies Act, will be required to convert and submit their last approved Annual Financial Statements in XBRL.
Kilgetty is able to assist all Companies with the filing of the CIPC annual return and converting the AFS to the iXBRL format as we have partnered with one of the approved CIPC software providers that meet the CIPC requirements. The AFS can be converted from Word, Excel or PDF saved format. It is not possible to convert a signed/scanned PDF document.
HOW DO I KNOW IF I MUST SUBMIT FINANCIALS TO CIPC IN XBRL?
It is mandatory for ANY Company or Close Corporation to submit Annual Financial Statements to CIPC in XBRL if any one of the following criteria applies:
If an audit is required as per the Memorandum of Incorporation (MOI);
If the PI score is 350 or more;
If the PI score is 100 or more and the financials are internally compiled; or
If the entity holds assets in a fiduciary capacity for persons who are not related to the entity, and the aggregate value of such assets held at any time during the financial year exceeded R5M.
How to calculate the Public Interest Score (PIS) of a company or close corporation
a number of points equal to the average number of employees of the company during the financial year;
one point for every R1 million (or portion thereof) in third party liability of the company, at the financial year end;
one point for every R1 million (or portion thereof) in turnover during the financial year; and
one point for every individual who, at the end of the financial year, is known by the company to have:
in the case of a profit company, to directly or indirectly have a beneficial interest in any of the company’s issued securities; or
in the case of a non-profit company, to be a member of the company, or a member of an association that is a member of the company
CIPC COMPLIANCE CHECKLIST
In addition to filing the annual return, the CIPC has introduced a new requirement for companies to declare its compliance status in the form of a Compliance Checklist. The Compliance Checklist requires a company to confirm its compliance with a number of sections of the Companies Act, No.71 of 2008, as amended, (the “Companies Act”). This requirement is mandatory and effective from 1st January 2020.
The Compliance Checklist is outlined on Annexure A. Please complete Annexure A: Compliance Checklist should you require Kilgetty to submit the Compliance Checklist to the CIPC on behalf of your company.