A Comparison of the Structural Elements of the Integrated Reporting and the Management Report
A new type of reporting has been introduced both in the international and Ukrainian practice: the integrated reporting and the management report. The integrated reporting in Ukraine is not subject to regulation by central government, whereas the structure and format of the management report is legally fixed (the Law of Ukraine “Accounting and Financial Reporting in Ukraine). However, as of 01.12.2018, a unified format for the management report was not approved by the Ministry of Finance of Ukraine. According to the abovementioned Law of Ukraine, micro-enterprises and small enterprises are exempt from the management report, whereas medium enterprises are not obliged to show non-financial data in the management report. The integrated reporting can be submitted separately from the financial reporting, but, following the above Law of Ukraine, the management report is to be submitted together with the financial statement and the consolidated financial reporting in the legally fixed procedure and time limits.
The purpose of the study is to compare the structural elements of the integrated reporting according to the International Integrated Reporting Framework, the management report according to the Draft Methodical Recommendations on Compilation of Management Report by the Ministry of Finance of Ukraine, and the management report according to the Draft Methodical Recommendations on Preparation of Report from Kreston GCG, in order to identify their differences and the feasibility of their simultaneous application in the national reporting practice. Based on the analysis, the main differences between the Integrated Reporting and the Management Report are highlighted. A comparative analysis of the structural elements of the integrated reporting and the management report is conducted, to find out the correlation of their structural elements. It is demonstrated that the differences between the integrated reporting and the management report are negligible; it is, therefore, recommended to combine these two types of reporting in one optimal format.
2. Bezverkhyi K. V., Panteleiev V. P. (2018). Konsolidovanyi zvit pro upravlinnia. Novatsii upravlinskoi praktyky zvituvannia [The consolidated report on management. Innovations in the management practice of reporting].Naukovyi visnyk Natsionalnoi akademii statystyky, obliku ta audytu – Bulletin of National Academy of Statistics, Accounting and Audit, 1–2 (56–57), 37–46 [in Ukrainian].
3. Zakon Ukrainy “Pro bukhhalterskyi oblik ta finansovu zvitnist v Ukraini” vid 16.07.99 r. No 996-XI [The Law of Ukraine “Accounting and Financial Reporting in Ukraine from 16.07.99 No 996-XI]. Retrieved fromhttp://zakon4.rada.gov.ua/laws/show/996-14. [in Ukrainian].
4. The International
5. Directive 2013/34/EU of the European Parliament and the Council of 26 June 2013 on the annual financial statements, consolidated financial statements and related reports of certain types of undertakings, amending Directive 2006/43/EC of the European Parliament and of the Council and repealing Council Directives 78/660/EEC and 83/349/EEC. Retrieved fromhttp://www.oroc.pt/fotos/editor2/diretivacont.pdf.
6.Directive2014/95/EU of the European Parliament and of the Council of 22 October 2014 amending Directive 2013/34/EU as regards disclosure of non-financial and diversity information by certain large undertakings and groups. Retrieved fromhttp://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=OJ:L:2014:330:FULL&from=EN#L_2014330 EN.01000101.doc.
7. Proekt Metodychnykh rekomendatsii zi skladannia zvitu pro upravlinnia Ministerstva finansiv Ukrainy [The Draft Methodical Recommendations on Compilation of Management Report by the Ministry of Finance of Ukraine]. Retrieved fromhttps://www.minfin.gov.ua/uploads/redactor/files/%D0%97%D0%B2%D1%96%D1%82%20%D0%BF%D1%80%D0%BE%20%D1%83%D0%BF%D1%80%D0%B0%D0%B2%D0%BB%D1%96%D0%BD%D0%BD%D1%8F.doc. [in Ukrainian].
8. Metodychni rekomendatsii z pidhotovky zvitu pro upravlinnia vid Kreston GCG [The Methodical Recommendations on Preparation of Management Report from Kreston GCG. Retrieved fromhttps://kreston-gcg.com/ua/methodical-recommendations-for-the-training-of-zv%D1%96tu-about-the-management-of-kreston-gcg.[inUkrainian].
Abstract views: 18 PDF Downloads: 12