Network News Summer 2012 by Chartered Institute of Management Accountants

Why Ireland for Islamic finance? Ireland and Islamic finance; what it means for you

CIMA leaders in business â&#x20AC;&#x201C; Aongus Hegarty, Vice President at Dell Computers

2012 Ireland Global Business Challenge finalists

Contents 1

Message from CIMA Ireland Chair, Alan Flanagan

Leaders in business - Aongus Hegarty

Why Ireland for Islamic finance

Case study - Greg Scanlon

CGMA news

CIMA Ireland board update

Islamic finance news

Derek Henry on tax relief

CIMA Ireland Grapevine

CIMA Ireland and Irish Tax Institute Alliance

CIMA Ireland internship for students

Revision seminars

Blended learning

GBC 2012

CIMA events

CIMA IRELAND 5th Floor, Block E, Iveagh Court, Harcourt Road, Dublin 2, Ireland T. +353 1 6430400 | F. +353 1 6430401 | E. cima.ireland@cimaglobal.com

NETWORK NEWS | Summer 2012

Welcome A message from CIMA Ireland Chair Alan Flanagan FCMA, CGMA

I am pleased to be writing to you as I take up the role of Chair of CIMA Ireland. CIMA is growing. We have 195,000 members and students in 176 countries. We are now truly global thanks to our pioneering partnership with AICPA. CIMA is the most respected, influential and relevant management accounting body in the world. We have ambitious plans for the future and the future of management accounting. We live in a world that is changing rapidly. Emerging economies are shifting the focus of the global business landscape. The rise of social media and the demand for increased transparency is fundamentally transforming the way individuals and organisations communicate. The impact of GenY cannot be ignored. By 2025, an estimated 60% of the working population will have grown up in the digital age. CIMA is perfectly positioned to address the needs of this changing business landscape, defining the management accounting principles that drive long term, sustainable, success and providing management accountancy skills and competencies that enable individuals to become financially qualified business leaders no matter the size or sector of business. The rise of integrated reporting will ensure an even greater demand for these skills with businesses demanding the right data, the right analysis and the right decision making at the right time. There has never been a better time to be a management accountant, so let’s aim high. Our goal is to establish management accounting, represented by the CGMA designation, as the most valued profession in business worldwide. In doing so, we will redefine the accounting industry, creating a unique position for management accounting as the power behind decision making. There are four key pillars within the value chain model, those being acquire, deepen, retain and fulfil, under which all strategic initiatives and related activities are delivered. In Ireland, our institute has gone through a period of transition through the creation of an all island regional board. This transition has been achieved against the back drop of a turbulent and challenging marketplace, throughout which our institute has performed strongly, continuing to grow market share. As I take over the role of Chair, I recognise the successes we have achieved, whilst at the same time, am conscious that after any major change comes a need for stabilisation and consolidation. For this reason, I have identified four core areas of focus and priority for the coming year, those being:

• Region strategy - our business strategy for the period 2009-

2012 has served us well, and we can say with confidence, that the strategy as developed has been effectively executed. We now need to re-calibrate our strategy to the period 2015, for the Ireland region, taking account of the macro economic conditions and building on the excellent platform we have in place, underpinned by key initiatives and activities, for example our Islamic finance qualification, to support the global strategic goals for membership growth.

Alan Flanagan CIMA Ireland Chair

• Market profile - in recent times we have implemented a very

effective advertising and public relations campaign. This will continue to be a priority area of focus to build awareness and momentum for the institute across the all-Ireland market. Activity in this area will be underpinned through a series of thought leadership publications. The institute will focus on six overarching themes, including areas such as business ethics, performance management, governance and risk management, finance talent and data analytics.

• Network vibrancy - our network across the island of Ireland

continues to be both active and vibrant, and we want to ensure that the process of change in creating our Ireland board continues to support the key activities that are required to take place on a day to day basis on the ground across our region. It is these activities that deliver our successful results.

• Employer relations - building on the employer programmes in place is another key priority. Ensuring employers are connected with high calibre CIMA students to drive business success is at the core of the Institute’s strategy. As we progress through the year, I will update you on progress against these four priority areas of focus. In the meantime, I have one call to action for you. It is a straight forward request, but if actioned by our near 8,000 members and students in Ireland, would transform our institute regionally overnight. My call to action is ‘One for one’, and I ask that each member takes a little time to refer a new member to our institute. Please take a moment to consider the impact of this, and with whom you will engage. In the meantime, I would like to hear from you, on any aspect of our business across the island of Ireland. Please send me an email to chairman.ireland@cimaglobal.com. I look forward to meeting with you over the coming year. Yours sincerely, Alan Flanagan FCMA, CGMA CIMA Ireland Chair

NETWORK NEWS | Summer 2012

I’m l a c i t y l a an and I like . s r e b m u n Leaders in Business Aongus Hegarty, FCMA, CGMA President of Europe, Middle East and Africa (EMEA) at Dell, has always had a fascination with numbers and he advocates bringing this analytical approach to business strategy and management… Interview by business journalist, Jim Aughney.

‘I’m analytical and I like numbers,’ he explains. ‘I have continually wanted to know ‘what do the numbers mean?’ But I’ve always been more interested in how the numbers help you understand and then drive the business strategy and operations. This analytical approach is one of the most important competencies in my career’. Hegarty began his extensive career in IT while a student at NIHE, now Limerick University, where he graduated with a degree in business studies. As part of his course in accounting and finance he started work experience in the hardware division of Digital in Clonmel and joined the company after graduation. ‘I wanted to work in industry and started in finance at Digital where I completed my CIMA qualification before moving into developing and implementing a procurement strategy in print and media,’ Aongus says. After becoming a CIMA fellow, Hegarty was keen to broaden his experience - which he believes is a key element in good leadership. After a number of years at Digital, he joined Modus Media International, the subsidiary of Chicago-based media replication company R&R Donnelley; becoming general manager for operations in Ireland at Dublin, Kildare and Limerick. His work with Modus Media in Ireland was followed by a year with R&R Donnelley in Amsterdam.

NETWORK NEWS | Summer 2012

Aongus joined Dell in 2000, where he has since held a number of executive positions in sales and marketing; before taking on his current role of President of EMEA earlier this year. Previously, Aongus’ responsibilities at Dell have included: VP of consumer, small and medium business (CSMB) in EMEA; leading SMB in Ireland and the UK; country manager for BeneLux, as well as looking after panEuropean marketing at Dell. It’s about responding to customer needs and providing choice ‘I was always in the IT industry and admired the Dell Direct model. I’ve always picked a company to which I could bring my experience and add value; when I looked at the foundation of the company it was a solid go-to-market model,’ he explains. ‘One of Dell’s greatest strengths is that as a company we have listened and responded to the needs of our customers. We got direct feedback from customers which showed that more and more of them want to work with existing partners. Dell acted on that feedback. It’s about giving our customers choice; so today, Dell’s go-to-market approach also includes working directly with those partners,’ he continues. ‘We continue to work closely with our customers to understand their changing needs. If a company specialises in financial services

we can now leverage the expertise we have built up with partners in financial services IT, as well as our own internal knowledge and expertise. It works well with our channel and partner strategy giving us more opportunities to grow our business,’ Hegarty added. This evolution is a key milestone in Dell’s history and demonstrates that the focus on doing what’s right for customers and delivering what they want, when they need it, is still at the very heart of business-decision making. Twenty eight years on and Dell, now a $60 billion company, is still listening to what its customers want and delivering in a way that they prefer. Dell has successfully executed a strategy to transform the company from primarily being an infrastructure and hardware provider to what it is now – a Solutions and Services company This transformation of Dell is nowhere more visible than in Ireland where the group employs 2,300 people in Limerick and Cherrywood, in South County Dublin. Ireland is the largest European base for employees although only 5% of those based in Ireland support activities in the Irish market. The remaining 95% are involved in global supply chain operations, services and marketing, finance and other support services for the global and EMEA markets. The Ireland-based teams successfully use technology to lead teams and to support operational excellence across the globe. It is an excellent example of how Dell has transformed, according to Hegarty; with over 1,000 employees in Limerick now involved in high-end global and EMEA roles. ‘Historically a PC company, Dell is now a Services and Solutions company. In addition to our consumer and small business focus, we have become an enterprise solutions company offering a growing range of technology solutions and services to governments and private companies across the globe. All with a common end in mind - to enable our customers, regardless of size, to succeed and grow. We have also continued to invest and to grow our capabilities, working with customers from the desk top all the way to the data centre,’ Aongus explains. Dell continues to increase its core strengths and capabilities on behalf of customers ‘As well as growing organically and investing in developing the skills and IP of its existing team, Dell has also acquired more than a dozen companies in recent years; bringing in talent, technology and skills that complement the company’s existing activities and focus. Examples include Perot Systems, SecureWorks, KACE and Compellent - all helping Dell to increase our core strengths and capabilities on behalf of our customers. ‘We are constantly growing our specialist skills, while developing our team. The entire company is centred on the customer. We design products for different sectors and provide professional support services at the cross-over between consumer and commercial,’ he says. It’s about providing flexibility and choice From a product specific perspective, our latest notebook - the ultrathin XPS 13, is a good example of how Dell is offering high-end, innovative technology. ‘The Cloud is the way many of our customers want to use technology and this will become even more apparent over the next year or two. But currently, as with all new technologies, there are some questions and concerns about security of data. This is why we are helping companies to decide if a private cloud, a public cloud or a hybrid is the most appropriate for them at this time.

‘Also many companies have invested heavily in technology at their own premises - so we are committed to helping them maximise the return on investment from what they have, to drive efficiencies in their organisations. In tandem, we are helping them to plan for the future - and some of these requirements can be met in the Cloud. Start-ups for example can use Cloud from day one - reducing the need for capital investments up front,’ he argues, pointing to the success of Salesforce.com as a company that sits on Cloud technology. This transformation and acquisition strategy is adding up for Dell ‘We’ve done quite well in the European market and have taken share in the client and server spaces. There are challenges for sure and a lack of growth particularly in the EU from the consumer at one end to the state and public sector at the other end,’ Hegarty says. In addition to its success in Europe Dell is number one in the Middle East in its sector. Hegarty points out that Dell has also done well in parts of Africa like Kenya and South Africa but has been hampered by political uncertainty in North Africa. The emerging markets of Russia and Eastern Europe are also showing strong growth. ‘In Russia we have built up a very successful team and sales were up 200pc in Q4 and up 80% for the year. We

‘The name reflects the fact that business is global now. CIMA is no longer the cost guy sitting in the corner’. have introduced a new strategy and approach to Russia and it is a key market for investment,’ he says. Hegarty tries to divide his time equally between meeting customers and meeting and working with his colleagues around Europe, Middle East and Africa. He also believes in measuring customer loyalty in order to ensure that Dell can constantly improve customer experience. What do those customers that he is meeting think about Ireland and its recent difficulties? ‘I travel a lot and the conversations I have with people is that they recognise that we have been laying out a clear strategy for recovery and we are seen to be following through on our commitments. A lot of people I’ve met tell me that we seem to be handling the economic challenges well in Ireland,’ Hegarty says. ‘As a country, we became an expensive location. You need to provide higher value-add if your cost base is moving up. Basic sales activity is long gone. The type of work we do in the UK, France, Germany and Ireland is now very different to what it was. It is higher valueadded work providing more complex services and solutions to our customers,’ he says. As well as his role as EMEA President with Dell, Hegarty is active in CIMA and the American Chamber of Commerce for the EU. He particularly welcomes the designation of CIMA graduates as Chartered Global Management Accountants. ‘The name reflects the fact that business is global now. CIMA is no longer the cost guy sitting in the corner’.

NETWORK NEWS | Summer 2012

Why Ireland? for Islamic finance By Ken Owens, Partner, PwC Ireland Asset Management and Yvonne Thompson, Partner, PwC Ireland Islamic Finance

With over 1,000 international companies here, Ireland continues to be one of the most favoured global locations for investment. In 2010, Forbes ranked Ireland as the number one place to do business in Europe. Ireland has one of the most favourable tax regimes in the world attracting hundreds of foreign companies to locate here. But it’s not just the lowest tax rate on the OECD of 12.5% that attracts companies to Ireland. Ireland’s pro-business environment and young well educated, skilled workforce are also key attractions. Indeed the way in which Ireland has looked to develop its offering to the global Islamic finance industry is a prime example of this pro-business environment. The developments that have taken place have come about through the combined efforts of the government and civil authorities working closely with those working in the international financial services sector. In 2009 the Irish Tax Authorities clarified the tax treatment of Islamic funds, Ijara (leasing) arrangements and Takaful (insurance) arrangements. Enhancements to the tax regime for Islamic finance were introduced in the Irish Finance Acts in 2010 and again in 2012. The legislation extended the tax treatment applicable to conventional finance transactions to Islamic financial products which achieve the same economic result in substance as comparable conventional products. These transactions will be treated for all purposes of the Tax Acts in the same way as conventional financial products attracting interest.

NETWORK NEWS | Summer 2012

Ken Owensnd Asset Manageme la

Partner, PwC Ire

The support from the Irish government for development of Ireland as a global hub for Islamic finance was confirmed by the Taoiseach in his speech to the Irish Funds Industry Association’s annual conference in 2011 where he commented that: ‘The government is looking to build upon the success of the IFSC, one area we are expanding into is Islamic finance. Ireland has recognised its importance in the global financial system through adapting our tax system and financial regulatory system to ensure a level playing field between Islamic finance and conventional measures. We are determined to ensure that the IFSC is a centre of excellence for Islamic finance and the changes in recent finance acts will support its development.’ This commitment was carried forward into the Irish government’s strategy for the International Financial Services Industry 20112016 where the Irish government stated that ‘Ireland must be a credible business partner for investors from the Middle East investing in Europe. Potential activity areas include fund administration, distribution of UCITS funds, aircraft leasing, location of family offices, dual debt listing, issuance of sukuk and corporate treasury activity.’ Another notable development is the introduction of a professional qualification in Islamic finance to the Irish market by CIMA, the Chartered Institute of Management Accountants, which is the first professional accountancy body to do so. There are significant opportunities for Islamic financial services institutions to establish European Union (EU) headquarters locations in Ireland. As is currently the case with conventional financial services products the majority of business activity associated with Islamic financial products can be ‘passported’ from Ireland into the EU in accordance with the relevant EU directives. The success of the international funds industry in Ireland established under the EU’s UCITS directive is a good example of how the

ent

conventional financial services industry has availed of this ability to ‘passport’ from Ireland. Ireland stood out from the crowd in 2011 and experienced the highest net inflows into UCITS funds of all domiciles in 2011 attracting some €62 billion - almost €50bn more than the next most successful domicile. Over the past decade Ireland has been the fastest growing UCITS domicile in the world and is outpacing all other domiciles in terms of growth with growth in net assets of more than 500%. In 2011 Irish domiciled investment funds have reached a record high, passing the €1 trillion mark for the first time - up some 40% from the end of 2009.

There are significant opportunities for Islamic financial services institutions to establish European Union (EU) headquarters locations in Ireland. What’s driving the growth? The global reputation of the EU’s UCITS brand means that more and more managers are establishing UCITS for distribution far beyond Europe. Indeed Irish UCITS are distributed in over 70 countries, in all four corners of the world. Recognising the benefits of the UCITS framework, a number of Islamic investment fund managers have already established UCITS funds as a means of increasing the global reach of their investment capability. A notable success for the funds industry in Ireland recently was the announcement by the Malaysian based asset management firm, CIMB-Principal Islamic Asset Management of the establishment of three Irish domiciled Shari’ah UCITS funds which they plan to distribute in a number of European countries.

Yvonne Thompson

Partner, PwC Irelan

d Islamic

Islamic finance is growing as a source of finance for Islamic and other investors around the world. According to the UK Islamic Finance Secretariat the global market for Islamic financial services products as measured by Shari’ah compliant assets were projected to have reached US$1.2trn by 2011. With investors significantly reducing their risk appetite in light of the global financial crisis Islamic finance has the potential to become more attractive around the world and the initiatives which have been taken in Ireland to facilitate growth in Islamic financial services activity should auger well for the future growth of Islamic finance activity in Ireland.

NETWORK NEWS | Summer 2012

Case study Greg Scanlon, ACMA, CGMA

BA Medicinal Chemistry, Trinity College Dublin Senior Manager; Finance Portfolio Management and Optimisation, Pfizer (Global Financial Solutions)

At Pfizer, Greg Scanlon successfully combines a background in medicinal chemistry with his strong leaning towards business. A recent promotion has seen Greg move to New York where he is a senior manager with Pfizer’s Finance Portfolio Management and Optimisation Group. The group is responsible for leading and executing finance wide transformation, acquisition and divestiture programs. Greg’s first assignment is a secondment as global business transformation lead for the newly established Decision Support Centre of Excellence (DS CoE). Greg first realised his business ambitions while on a research internship at Harvard Medical School ‘My professor advised me to become a medical doctor or get into the business side of pharmaceuticals. R&D has always fascinated me, in particular the process of bringing a drug from discovery to market. In my final year of college I choose the business route, not knowing how I’d get there, but figured that consulting was a great starting point as it promised a broad fast track learning environment – it did not disappoint’, states Greg.

Why CIMA? Greg joined Deloitte’s graduate programme in 2005 straight from university, having just completed his primary Degree in Medicinal Chemistry. He soon realised that he needed to bolster his business education credentials. ‘Deloitte sponsored me to study a Diploma in Business Studies part time, with a view to signing up to for a professional accountancy qualification the following year. After researching the qualifications available to me, CIMA appealed to me most. I see myself as a key decision maker later in my career and CIMA provides that strategic, forward looking focus, to drive successful businesses. The CIMA qualification shifts your job prospects to the next level. A vast number of opportunities opened up to me upon qualifying and my career has gone from strength to strength. I firmly believe that the CIMA qualification is an international business passport. As soon as people hear that you are an ACMA they instantly associate that with credibility, quality and professionalism. The recent partnership with the AICPA could not have been more timely for my own personal situation. I work with a significant number of CPAs here in the States and it helps bridge the perception gap between qualifications’, states Greg.

NETWORK NEWS | Summer 2012

How did you find studying for the CIMA exams? Studying CIMA has opened up opportunities in terms of the projects that Greg has undertaken. ‘I’ve worked on a broad variety of projects during my time at Deloitte and now at Pfizer. CIMA has dovetailed with that to develop and bolster my financial skills set. However CIMA goes way beyond what most people consider to be the typical skills of an accountant. CIMA has helped me develop my project management, people management, business case preparation and strategy formulation skills’ says Greg.

What does your role with Pfizer involve? Greg has used those skills to work on a number of key efficiency and effectiveness initiatives including the establishment of a pilot Manufacturing Finance Centre of Excellence and a project that identified how Pfizer could further leverage its current shared service’s footprint to support the commercial and manufacturing businesses. ‘There’s huge variety in the work I do. Today I’m responsible for overseeing the DS CoE’s key projects (ranging from systems rollouts; liaising with outsource providers; continuous improvement initiatives; process standardisation), the PMO work that comes with that; engaging with finance leaders across the business as well as operational and strategic planning alongside the DS CoE Vice President’.

How is Pfizer providing support for you to fulfill the CIMA professional development requirements? Greg believes CPD is a must in staying current and up-to-date with changes in today’s business environment. ‘Continuous improvement is big part of that, CIMA members are constantly working with their teams to improve the way we work every day, identifying efficiencies and helping to drive the business forward. Pfizer hold the fundamental belief that their colleagues and their skills are one of the most important assets. CPD is recognised as a key factor in promoting optimal job performance and is viewed as extremely important in preparing colleagues for future challenges and opportunities that lie ahead for the company’ states Greg. Concluding, Greg says ‘With CIMA I now have an international business passport and a career path where I set the limits. I work in a truly global business, its great meeting new people all the time and the travel that comes with that. In my first year alone I visited a number of commercial and manufacturing sites in places like Montreal, Sweden, Paris, Madrid, Brussels, London and New York where I am now based. When you add working alongside talented people to that equation, it’s a great result’.

MA With CI e an v a h w o n I al n o i t a n r inte sport s a p s s busine th a p r e e r and a ca the t e s I e wher limits.

NETWORK NEWS | Summer 2012

CGMA...

report reveals gap in rhetoric, reality on business ethics Despite more commitment to ethical performance, pressure to act unethically is on the rise, study by American Institute of CPAs and Chartered Institute of Management Accountants shows: Four out of five businesses worldwide have committed to ethical performance, but rhetoric does not always match reality, according to a new report from the American Institute of CPAs (AICPA) and CIMA. The report found a weakened ‘tone from the top’ and more pressure on financial professionals - especially in emerging economies - to act unethically. Managing responsible business, a global survey of almost 2,000 Chartered Global Management Accountants (CGMA) in nearly 80 countries, found that 80 percent of organisations provide a code of ethics to guide employees about ethical standards in their work, up from 72 percent in 2008.

CGMAs can play a key role in guiding companies in how to better collect and report ethical information. However, only 36 percent collect ethics information such as the number of employees attending ethics training and actions taken on hotline reports. Since ethical performance can only be managed with the right information, this suggests ethical practice falls short of stated policy, according to the report. What’s more, neither senior management nor boards of directors seem to be reviewing, analysing and monitoring ethics information at the level recorded four years ago. In 2008, 86 percent of senior management and 68 percent of boards reviewed ethics data, according to the report. In 2012, it was 78 percent and 56 percent, respectively. This ‘weakened tone from the top’ comes as more than a third of those surveyed, 35 percent, said they sometimes or always feel pressured to compromise their organisation’s standards of ethical conduct. This compares to 28 percent of respondents in 2008. The pressure is most pronounced in developing economies such as Malaysia, 54 percent, and India, 51 percent, and lowest in the U.K. and U.S., where 18 percent of those surveyed feel pressure.

NETWORK NEWS | Summer 2012

‘Positive steps have been taken to build the architecture for ethics through codes and policies, but pressure to act unethically persists and companies across the globe continue to be faced with the challenge of strengthening ethical culture from the top,’ said AICPA President and CEO Barry Melancon, CPA, CGMA. ‘CGMAs can play a key role in guiding companies in how to better collect and report ethical information by drawing on their training and understanding of professional ethics, as well as their skills in obtaining, analysing and acting upon management information.’ The report is a follow up to one conducted by CIMA in 2008 and is the first time responses from the U.S. have been included. Geography and company size are key factors in the findings, with larger companies from more developed economies generally having more advanced ethics programs. U.S. companies, for instance, are most likely to monitor or evaluate ethical standards, according to the report. Other key findings from the report include:

•

Ethical performance: More than half of companies, or 57 percent, now provide training on ethical standards, 49 percent provide a hotline for reporting conduct that violates the organisation’s standards of ethics and 25 percent provide incentives for staff to uphold the organisation’s standards of ethical conduct, according to the report. CGMAs and ethical performance: The main ways CGMAs say they contribute to management of ethical performance are by upholding their professional code of ethics, 86 percent; ensuring the integrity of management information, 83 percent; leading by example, 80 percent. Pressures to act unethically: Asked how likely various situations were to result in pressure to compromise standards of ethical business conduct, those surveyed identified the top situations as: working with colleagues from different functional areas within the organisation; meeting reporting deadlines; compiling management accounts; and dealing with customers. Business issues: When asked how relevant various ethical issues were to their organisations, the top issues cited by respondents were security of information , 91 percent, safety and security, 88 percent, bribery, 78 percent, discrimination, 75 percent, conflicts of interest, 74 percent, environmental, 73 percent and supply chain, 72 percent.

CIMA Ireland Board Alan Flanagan ACMA, CGMA, Chair Louise Connaughton FCMA, CGMA, Deputy Chair Sharon McCue FCMA, CGMA, CIMA Ireland’s CIMA Council Representative Tom O’Connor FCMA, CGMA, CIMA Ireland’s CIMA Council Representative Patrick Barr ACMA, CGMA, Past Chair Denis McCarthy, Director Ireland Sheila Lewis FCMA, CGMA, Student and Member Services group Sean Molan ACMA, CGMA, Member in Practice and Technical group Frank Nolan ACMA, CGMA, Northern region Michelle O’Rourke ACMA, CGMA, Eastern region Paul Cantwell FCMA, CGMA, Southern region Susan Burke ACMA, CGMA, Southern region Geraldine Furlong ACMA, CGMA, Western region

Patrick Barr, Past CIMA Ireland Chair, pictured with Alan Flanagan, CIMA Ireland Chair, and Louise Connaughton, Deputy Chair.

Brian Duffy FCMA, CGMA, Western region

President Michael D Higgins guest of honour at CIMA Ireland event in Titanic building President Michael D Higgins was the guest of honour at the inaugural CIMA Ireland annual dinner at Belfast’s Titanic building on Saturday 26 May 2012. The all island dinner was also attended by Dame Mary Peters, Lord Lieutenant of the City of Belfast. The inaugural dinner, sponsored by Electric Ireland and held in collaboration with InterTradeIreland, marked the first anniversary of the merger of CIMA’s operations in Northern Ireland and the Republic of Ireland to form CIMA Ireland. The Board of CIMA Ireland are pictured with Michael D Higgins, his wife Sabina Higgins and outgoing CIMA President, Harold Baird.

Ireland 2012 CIMA er quests Annual Dinn

Sponsored by:

Keynote Speaker: Marlies de Ruiter, Head of the OECD’s Tax Treaty, Transfer Pricing and Financial Transaction Division

Transfer Pricing

The Master Class & Global Conference The Gibson Hotel, Dublin

24-26 October 2012

The only global event that brings you the practical “how to” of transfer pricing > Transfer pricing experts from China, Russia, India, USA, Ireland, UK, France, Belgium and Canada

Day

> Intangibles and TP – hear from the Chair of the OECD’s Working Party No. 6

> Practical workshops on the most common and complex TP transactions from intra-co funding to HQ services and acquisitions

Day 2

> Global TP risk management, audits and control – is your system fit-for-purpose?

Options: 1 day – €800 2 days – €1,490 3 days – €1,950

training@taxinstitute.ie

Save € 4 When 50

Day

You All 3 D Book ays

+353 (0)1 663 1700

Master Class – The Framework of Transfer Pricing Wed 24 Oct 2012 Master Class – Applied Transfer Pricing Thur 25 Oct 2012 Transfer Pricing – The Global Conference Fri 26 Oct 2012

www.taxinstitute.ie

NETWORK NEWS | Summer 2012

Research and development tax credits a tax relief with broad application Derek Henry, Head of R&D Tax Services Ireland’s R&D tax credit regime provides a 25% credit for expenditure incurred on qualifying activities. This means that companies can obtain an effective tax deduction of up to 37.5% with the possibility of the value of the R&D tax credit being refunded where there are insufficient levels of taxable profits within the company or group. Consider how much money your business spends when trying to develop or improve its products or processes. Now imagine you could reduce that cost by a quarter!

Features of the R&D tax regime Companies are entitled to a credit of 25% on the incremental R&D expenditure incurred in excess of the base year spend. The base year is set at 2003. If a company commences R&D activities after 2003 then the base year spend will be nil. The credit itself can be used to: • Reduce the company’s corporation tax liability of the period, • Reduce the corporation tax liability of the previous year, or • If unused, the credit can be refunded by the tax authorities, subject to certain restrictions. The credit is in addition to the normal corporation tax deduction for the expenditure and the claim must be made within one year of the end of the accounting period in which the expenditure has been incurred. Despite the obvious benefits of this regime, many companies are not actually aware that they are carrying out activities that may qualify for relief. R&D activities are not limited to those that occur in a traditional research lab. In fact most claims are for experimental development which often takes place right on the factory or shop floor or perhaps out on the construction site or the farm itself.

Is your company eligible? Ask yourself is your company: • Developing a new product or process? • Improving existing products, methods or processes? • Working to reduce the environmental impact of your manufacturing process? • Working on the next generation of your technology? If you have answered yes to any or all of the above then there should be some food for thought!

How do you claim the relief? The claim preparation process involves: • Determining the eligible projects and the activities within them, • Preparing a technical report to describe the project, • Identifying the eligible costs that relate to the work, and • Completing and filing the tax forms and technical report. Companies who make successful claims then have the ability to allocate further funding to research and development activities on an on-going basis.

NETWORK NEWS | Summer 2012

enry Derek H

Technical report preparation is a critical and a time-consuming part of any claim; in fact if reports are incomplete or unconvincing, the chance of making a successful claim is reduced significantly. Business structures, transactions and complex legislation can significantly affect current and future claims. Along with the technical description, an organisation is required to ensure that the costs and the activities it is claiming for are in fact eligible for relief under the regime. R&D relief is available across a broad spectrum of industry sectors. We have found that R&D tax incentives are available across almost all industries, including: • • • • • • • • •

Manufacturing Technology, software, gaming, hardware Financial services Medical device manufacture, biosciences, pharmaceuticals Plastics, chemicals Food production, processing, agri-business Forest products, pulp and paper Mining, oil and gas Construction materials

Conclusion We are finding that many companies are not actually aware that they are carrying out activities that may qualify for the R&D credit. The financial and cash flow advantages that qualifying companies can obtain from the R&D regime can in certain instances provide a financial lifeline and in other cases facilitate increased investment in many aspects of the business. These benefits are obvious however, in our experience of dealing with the whole R&D process; we have seen a number of other more subtle advantages. For example, giving the technical staff a sense of their activities being valued and their contribution to the financial wellbeing of the company being recognised. Companies have also developed better systems to record the process thereby increasing the company’s learning and understanding of how to be innovative. Based on our experience we find that companies are looking for guidance and assistance around the proof that the underlying claim is in fact related to qualifying activities as defined. Peer review at the engineer, developer or technical staff level is highly valued. Accountants and tax consultants do not necessarily have the expertise to identify and write up the required technical reports and where a tax consultant led approach is adopted, you are likely to find that the engineers will have to be more involved in the write up process than they might otherwise like. However, assigning everything to the engineers is not ideal as an understanding of how the tax law interacts with the overall R&D regime and other parts of your business, together with experience dealing with Revenue Audits, are also key aspects of the claim process.

For more information please contact either Derek Henry at: dhenry@bdo.ie or call +353 (0)1 4700000.

The Institute of Bankers in Ireland A RECOGNISED COLLEGE OF UNIVERSITY COLLEGE DUBLIN

School of Professional Finance

For the 2012|2013 academic year the School of Professional Finance is accepting applications for the following taught postgraduate qualiﬁcations:

Executive Masters in Risk Management

MSc in Financial Services

Graduate Diploma in Financial Services

Professional Diploma in Credit Risk Management

Professional Diploma in Governance and Risk

Professional Certiﬁcate in Accounting for Financial Instruments

Leading to the Professional Designation, Chartered Banker

Interested in finding out more? For information on our full range of programmes contact us at:

www.bankers.ie | (01) 611 6500 NETWORK NEWS | Summer 2012

CIMA Ireland Grapevine launched! • Foster closer linkages between the CIMA branches and the

The CIMA Grapevine initiative, a specialist network to support career guidance counsellors in business, finance and related disciplines, both at second and third level was formally launched on 24 February 2012. The launch event was attended by CIMA advocates, CIMA SIG members, guidance counsellors and CIMA staff members.

The aim of the CIMA Grapevine initiative is to keep guidance counsellors, advocates, and lecturers up to date on the CIMA qualification and the career opportunities it opens for its members, in order to inform their students.

A dedicated CIMA Grapevine webpage has been set up on www.cimaglobal.com/grapevine

career guidance counsellors, for real insights in terms of diversity of career options that the qualification offers.

• Provide a network that acts as a platform to engage with

stakeholders as a community, in a meaningful and supportive way.

Specifically it will:

• Assist students to help them make an informed choice with

regard to their future career and which PAB to undertake, once undergrad studies completed.

CIMA Grapevine

• Provide regular and relevant updates about the CIMA

qualification.

• Give insights into the distinctive nature of the syllabus and

routes to achieving the qualification.

Make a real difference to your career with The Open University’s Triple Accredited MBA Join 22,000 professionals who have already benefited from our world-class, flexible MBA learning experience. We are in the elite 1% of Business Schools that are triple accredited by AMBA, EQUIS and AACSB. Our flexible learning methods mean you don’t have to put your career on hold to get the qualification you want.

an Find vent e A MB ar you ne

• Employers respect our MBA’s excellence and recognise the commitment it takes to achieve one – 75% of FTSE 100 employers have developed their workforce with us • Our students tell us that their salaries increased by 40% after taking their MBA • Supported by cutting edge technology, our MBA is designed to fit around your busy life • Our MBA adds real value to your job as you apply what you learn from day one.

Realise your ambition today Get your FREE MBA prospectus

+353 (0) 16785399

Quoting ref RANEAS

www.openuniversity.co.uk/roimba

INSPIRING LEARNING The Open University is incorporated by Royal Charter (RC 000391), an exempt charity in England and Wales and a charity registered in Scotland (SC 038302).

61969_OU_CIMA_148.5x210.indd 1

NETWORK NEWS | Summer 2012

24/07/2012 15:19

UCD and CIMA congratulate the MSc in Strategic Management Accounting class of 2012 In 2010 the UCD Michael Smurfit Graduate Business School introduced the first MSc in Strategic Management Accounting (two-years, part-time) in close association with CIMA.

Today we salute the class of 2012! The MSc has attracted participants from many diverse employment backgrounds and enterprises including: Aer Lingus; Allianz (Darta Savings); Allied Irish Banks; Certus; Connemara Seafoods; Deloitte; Delph Ltd; FFA, Chartered Accountants; Health Service Executive; Intel; Microsoft; Oracle; Pfizer; PwC; Procter & Gamble; Teleflex Medical Europe; and WDA, Chartered Accountants. Here is what one of the participants has said: ‘The quality and standard of the modules means that I will be able to complete my final CIMA exam just two years after beginning the course. The course also provides opportunities to develop strategic skills and experience. I would highly recommend the

MSc SMA to anyone seeking to develop their financial leadership skills with the drive to complete an intensive yet rewarding course.’ Fionn Collins - Class of 2012 and CIMA scholar Finance Manager, Procter & Gamble The MSc programme assists businesses to develop and retain talented professionals within their organisations thus adding human capital value whilst also providing a competitive advantage. It is also a fast-track to achieving the CIMA professional qualification. Applications are now being invited for the September 2012 intake for the part-time MSc with classes delivered on Friday afternoons, 4.30-6.30pm, and Saturday mornings, 9.00am-1.30pm. For further information visit www.smurfitschool.ie/sma or email smurfit.admissions@ucd.ie

Finance professionals hold the key to business success in an uncertain and demanding age As a shortage of suitable talent stifles global growth plans, a new report by CIMA and the American Institute of CPAs (AICPA), sponsored by recruitment experts Hays, highlights how finance professionals have never had a better opportunity to progress their careers and make a real mark on their organisation.

and cost efficiency areas to a real strategic focus where it can make a massive impact. This evolution is influencing the capabilities that finance professionals now need to demonstrate and bring to an organisation. It also highlights the exciting opportunities for CGMAs and those wishing to enter the profession.’

‘The fast track to leadership - the challenges, opportunities and action plan’ concludes that as organisations operate in an increasingly challenging climate, a board’s expectations of the finance function are becoming far more complex.

‘Despite many organisations cutting investment in training, highlighted by the CGMA Q2 global economic forecast which showed that spending is predicted to decrease in the UK and Europe over the next 12 months, leading employers still recognise our ability to provide these capabilities and support business success. This is reflected by our new student growth, with over 26,000 joining last year.’

There is an increased demand for finance professionals to act as strategic business partners and help drive long-term sustainable success. This in turn places a greater demand on the skills and experience sought by organisations, especially in areas where management accountants can add real value and offer a competitive edge. This report draws upon the personal experience of leading CFOs and finance directors to illustrate how management accountants can maximise these opportunities. They apply non-financial, qualitative information alongside the financial facts to inform decision making. Management accountants drive strong performance and are trusted to guide critical business decisions, bringing independence and objectivity. CIMA and AICPA have formed a joint venture to establish the Chartered Global Management Accountant (CGMA) designation to further elevate the profession of management accounting.

Paul Venables, Group Finance Director for Hays, said, ‘Organisations are recognising the critical role that the finance function plays in informing the strategic decisions that will define their success. Management accountants who can deliver technical financial expertise along with commercial awareness are in demand from employers and should take every opportunity to develop these skills in order to become the financial leaders of the future.’ The report is available at: www.cgma.org/Resources/Reports/ Pages/fast-track-to-leadership

Ana Barco, Report Author and Head of Innovation - Talent Management at CIMA, said, ‘In the more forward-looking organisations, finance is evolving from a focus on the transactional

NETWORK NEWS | Summer 2012

CIMA alliance with the Irish Tax Institute The Chartered Institute of Management Accountants Ireland (CIMA) and the Irish Tax Institute have announced an alliance to facilitate CIMA qualified professionals who wish to develop their tax knowledge. The alliance will work at a number of levels including joint CPD events, a tax information service for CIMA members and exemptions for tax qualification exams. Commenting Alan Flanagan, Chair, CIMA Ireland said ‘This is a strategically important alliance for our Institute in Ireland and all of our members. The alliance is intended to meet the needs of CIMA members across industry and sectors, many of whom have pivotal roles in organisations where tax processes, risk and compliance management are essential considerations. Many of our members’ roles demand specific insights into aspects of taxation, whether it is VAT or payroll tax, corporate or capital tax issues. This alliance with the Irish Tax Institute will facilitate our members’ needs in aspects of critical importance to them and will support our members in career development and continuing professional development’.

For those CIMA members wishing to add a tax qualification there is the opportunity to pursue the AITI Chartered Tax Adviser (CTA) qualification. CIMA members are entitled to exemptions from three out of four exam papers at Part 1 of the three-part qualification. CIMA members can obtain the AITI Chartered Tax Adviser (CTA) qualification in less than eighteen months. An alternative to the AITI is the Tax Technician (TMITI) qualification which is a one year programme designed for those who want to acquire a broad knowledge of taxation compliance across all tax heads. Delivered at weekends only in locations in Ireland, the programme covers the following core modules in an extremely practical and commercially focussed manner:

• • • •

Income tax Business taxes Capital taxes Indirect taxes

CIMA members who have already completed it rate it very highly. To find out more check out www.taxinstitute.ie/cima

Commenting Bernard Doherty, President, ITI said ‘The Irish Tax Institute is delighted to form this alliance with CIMA. There are tax implications every day for the thousands of business decisions made in Ireland from sales and investments in small businesses through to expansion plans by multinationals. It is important that the highest standards of tax expertise are available to everyone from individuals, to start-ups, to large companies so that they can make confident decisions for their future’. The Irish Tax Institute has been educating people in tax for thirty years. A series of CPD events on the topic ‘Tax developments promoting growth of indigenous business and attracting foreign direct investment’ are scheduled for October in Dublin, Galway and Cork. Check out www.taxinstitute.ie/cima for booking details. Other initiatives will include access to topical tax information for those CIMA members entitled to become affiliates of the Irish Tax Institute.

Tax Institute alliance CIMA and the Irish

Specifically affiliates will receive:

• TaxFax - the essential tax technical update every Friday • Daily news summary - top tax media stories • Technical bulletins on topical tax developments which typically

issue every three weeks

• Details of upcoming tax events and networking opportunities Affiliate membership costs €130 plus VAT and details on how to become an affiliate member can be found on www.taxinstitute.ie/cima

NETWORK NEWS | Summer 2012

CIMA and the Irish Tax Institute (ITI) have announced a collaborative alliance to benefit members of both bodies. Alan Flanagan, CIMA Ireland Chair, Denis McCarthy, Director, CIMA Ireland; Mark Redmond, Chief Executive, ITI and Bernard Doherty, President, ITI.

CIMA Ireland internship programmes

Stellar performance from CIMA Ireland students

The CIMA Ireland internship programmes provide employers, who are CIMA members; with a unique opportunity to access a pipeline of talented resources through Ireland’s leading business schools across the island. The CIMA Ireland internship programmes have been established in close collaboration with business schools strategically located across the island of Ireland including Cork IT, Dublin IT, DCU, NUI Galway, University College Cork, University of Ulster, University of Limerick, Limerick IT, and Waterford IT.

CIMA Ireland students have taken global honours in their professional exams. Olivia Naughton, who works with Ask.com, came first in world for P3 performance strategy whilst Belfast based Hilary Marshall came second in the world for P3.

Business schools work with employers to select students for placement in line with the specific recruitment requirements of the individual employer so that they meet their particular business and human organisational needs. For details of the programme within your area please go to www.cimaglobal.com/internships

Mark Mercer, who works with Certus, came second in the world for E2 enterprise management. Commenting Fiona Arnold, Student Recruitment Manager, CIMA Ireland said ‘These are fantastic achievements and each is to be congratulated on their success. CIMA Ireland students are outperforming their global peers in many of the exams. I would also like to congratulate all our students who successfully passed the May 2012 exams’.

The international gold standard in tax

A World of Opportunity Join over 27,000 Chartered Tax Advisers (CTA) working globally in tax > The employment rate among recently qualified AITI Chartered Tax Advisers (CTA) is 97% > Flexible course options allow participants to qualify at a pace that suits them – 18 months or longer* > AITI Chartered Tax Advisers (CTA) hold key tax and financial positions in 30 of the top 50 companies in Ireland. > A blended approach to tax learning including real life case-studies and professional skills workshops

www.taxinstitute.ie

Location: Dublin, Cork, Limerick and Athlone Register: Online at www.taxinstitute.ie Commencing: October 2012 Exemptions: *CIMAs are exempt from 3 out of 4 papers of AITI Fundamentals: Part 1. Those who have completed their Fundamental level exams are eligible for exemptions from our law & accountancy modules Study options: Lectures take place at weekends only and students can select from 2 courses and 2 examination sittings per year

students@taxinstitute.ie

+353 1 6631748

NETWORK NEWS | Summer 2012

Revision seminars for November 2012 exams Operational level revision seminars Venue: Radisson Blu Hotel Belfast, The Gasworks, 3 Cromac Place, Ormeau Road, Belfast BT7 2JB

Module

Date

Time

Lecturer

Price

E1 Enterprise operations

Friday 12 and Saturday 13 October 2012

9.00am-5.00pm

Tom McStraw

€190 for the two day seminar

P1 Performance operations

Friday 19 and Saturday 20 October 2012

9.00am-5.00pm

Dean Coulter

€190 for the two day seminar

F1 Financial operations

Friday 26 and Saturday 27 October 2012

9.00am-5.00pm

Maurice Smyth

€190 for the two day seminar

Strategic level revision seminars Venue: Radisson Blu Hotel Belfast, The Gasworks, 3 Cromac Place, Ormeau Road, Belfast BT7 2JB

Module

Date

Time

Lecturer

Price

E3 Enterprise strategy

Friday 5 and Saturday 6 October 2012

9.00am-5.00pm

Tony Wall

€190 for the two day seminar

P3 Performance strategy

Friday 26 and Saturday 27 October 2012

9.00am-5.00pm

Tom McStraw

€190 for the two day seminar

F3 Financial strategy

Friday 19 and Saturday 20 October 2012

9.00am-5.00pm

Tom McStraw

€190 for the two day seminar

Module

Date

Time

Lecturer

Price

T4 part B

Saturday 27 and Sunday 28 October 2012

9.00am-5.00pm

Chris Gain

€220 for the two day seminar

Time

Lecturer

Price

P2 Performance management Monday 24 September and Wednesday 17 October

9.00am-5.00pm

Dave Capewell

€190 per subject or €500 for all three

E2 Enterprise management

Tuesday 25 September and Thursday 18 October

9.00am-5.00pm

Dave Capewell

€190 per subject or €500 for all three

F2 Financial management

Wednesday 26 September and Friday 19 October

9.00am-5.00pm

Dave Capewell

€190 per subject or €500 for all three

T4B revision seminar Venue: Limerick, venue TBC

Master’s gateway revision seminars, Dublin Venue: CIMA Ireland, 5th floor, Block E, Iveagh Court, Harcourt Road, Dublin 2

Module

Date

NETWORK NEWS | Summer 2012

Master’s gateway revision seminars, Cork Venue: Cork IT

Date

Module

Time

Lecturer

Price

P2 Performance management Monday 24 September and Monday 22 October

5.00-10.00pm

Adrian Cronin

€190 per subject or €500 for all three

E2 Enterprise management

Tuesday 25 September and Tuesday 23 October

5.00-10.00pm

Adrian Cronin

F2 Financial management

Wednesday 26 September and Wednesday 24 October

€190 per subject or €500 for all three

5.00-10.00pm

Adrian Cronin

€190 per subject or €500 for all three

Blended learning Blended learning courses will commence early September 2012, each tailored specifically to the CIMA syllabus. They will be delivered by lecturers experienced in the CIMA professional qualification and exam requirements. The fee for the blended tuition package is €495 per CIMA subject, excluding the exam fee. For those who wish to attend all three strategic level courses only, the cost is €1,100 for the three.

Athlone Institute of Technology

Waterford Institute of Technology

E3 enterprise strategy P3 performance strategy F3 financial strategy

E1 enterprise operations E2 enterprise management F2 financial management P1 performance operations

Cork Institute of Technology

Letterkenny Institute of Technology

E1 enterprise operations P1 performance operations F1 financial operations E2 enterprise management P2 performance management F2 financial management E3 enterprise strategy

E1 enterprise operations P1 performance operations F1 financial operations E2 enterprise management P2 performance management F2 financial management P3 performance strategy F3 financial strategy

Limerick Institute of Technology E1 enterprise operations P1 performance operations F1 financial operations

Register To register for any of the above revision seminars or courses, please contact the CIMA Ireland office at cima.ireland@cimaglobal.com or phone +353 (0)1 6430400.

NETWORK NEWS | Summer 2012

GBC 2012... Queen’s University College Belfast won the Ireland final of the CIMA Global Business Challenge 2012. A total of nine teams took part in the Ireland final. The team went on to represent Ireland at the global final in Colombo, Sri Lanka, on 23 and 24 July competing against 22 other countries. The 2012 CIMA GBC is an international business management competition designed to bring out the very best in the next generation of business leaders by analysing a real life scenario and presenting innovative solutions. Pictured from l-r are: Colin Stevenson, Lurgan; Owen McMeel, Moneyglass; Julie Niblock, Larne; David Galbraith, Belfast; Donnchadh Long, Middletown; with Alan Flanagan, Chair, CIMA Ireland.

rk University College Co

UCC team members pictured are: Kevin Barry, Whitescross; Justin Schwering, Waterford; Stephen Daly, Cork City; Daragh Costelloe, Tipperary South; and Eimear Walsh, CIMA student representative.

Athlone IT

Pictured at the finals are: Athlone IT students Patricia Jurkowska, Mullingar, Rebecca Murphy, Tullamore, Lilija Kazlausliene, Edgeworthstown and Carol Mallen, Tyrrellspass with Michele Kavanagh, CIMA Ireland.

Winners!

Queen’s

y College

Universit

Dublin Bus iness Schoo l

Dublin Business School team pictured are: Axuehong Wang; Aneesha Shaikh; Xue Liming; and Monisha Andrushe.

IADT

Dun Laoghaire’s IADT was a runner up at the CIMA Ireland GBC finals. Pictured are team members Jan Schneider, Rathmines; Catriona Sherlock, Glenageary; Leigh Heritage, Dun Laoghaire; Mitzi D’Alton, Christchurch; with Fiona Arnold, Student Recruitment Manager, CIMA Ireland.

Letterkenny IT team, also a runner up, from l-r: Christine Carr, Letterkenny; Car oline O’Sullivan, Shrove ; Michael Hernon, Killybegs; and Mary Clisham, CIMA Ireland.

CIMA Ireland

Limerick IT

CIMA Ireland staff on the day (l-r) Fiona Arnold, Jean O’Dwyer, Robert Cosgrave, Nicola Glynn and Michele Kavanagh

Limerick IT team members Rebekah Wiseman; Craig Muckell; Martha McNamara and David Rushe with Geraldine Furlong, CIMA Midwest branch.

NETWORK NEWS | Summer 2012

Cork

Letterkenny IT

Cork IT team pictured from are students: Chris O’Mahony, Castlelyons; Sandra Hayes Clonakilty; Sean Leahy, Lismore; and Eamon Kelly, Belgooly.

IT Tallagh t

Pictured from IT Tallaght were: Joy De-Roiste; Paul Byrne; Emma Hoare and Juanita Skehan; with Nicola Glynn, CIMA Ireland.

iXBRL – Time to prepare for change by Brian Doyle

This November will see the release of an enhanced version of Revenue’s On-Line System(ROS) that will allow taxpayers and practitioners to submit financial statements to Revenue in iXBRL format. XBRL (eXtensible Business Reporting Language), a language that allows the presentation of financial information in a computer readable format, has been with us since the late 20th century. In recent years it has become the global standard for the presentation and exchange of accounting and financial data for both business and regulators, driven by awareness of the potential business benefits, increased availability of packages and software tools and more recently, the advent of iXBRL, the ‘inline’ version of the language which allows human-friendly presentation of XBRL documents.

November release The November release marks the beginning of a transition to iXBRL usage for Revenue. Receiving financial statements in iXBRL will allow us to examine, in a very efficient way, the content of accounts and their relationship with the information presented on tax returns. This has the potential to shorten processing and turnaround times for matters such as repayment claims and also to enhance Revenue’ capacity to accurately assess and eliminate risks, potentially reducing the need for intrusive Revenue audits or other interventions for the great majority of compliant taxpayers.

Progressive transition Revenue is adopting a progressive approach to the transition to the submission of accounts in iXBRL. An optional phase starts on 23 November this year when practitioners will have a valuable opportunity to ‘cut their teeth’ using iXBRL in advance of mandation. Cases that have already filed their 2011 returns in September can still submit accounts from November onwards if they wish to. Similar to the approach to the roll-out of ROS, Revenue will mandate iXBRL initially for cases dealt with in Large Cases Division (LCD) before extending to other areas. The pace of overall mandation in will be determined in 2013 following a review of the experience of the initial optional phase. For LCD cases mandation begins on 1 October 2013, for all returns made on or after that date with respect to periods ending on or after 31 December 2012.

Taxonomies At the core of XBRL and iXBRL are the taxonomies that define the tags used to identify and exchange data. In consultation with XBRL Ireland, Revenue has opted to accept the UK GAAP taxonomy, supplemented by a short ‘Irish extension’ as the medium for Irish GAAP accounts. The extension addresses some of the areas where there are different disclosures required under Irish GAAP (see www.xbrl-org.ie for details of the extension). We are also using the UK IFRS taxonomy, which will, in the near future, also be supplemented with an extension to bridge differences with the Irish standard.

XBRL road show presented by Business Reporting Ireland Ltd/Revenue Dublin Friday 31 August, 8.00-10.30am Sligo Monday 3 September, 4.00-6.30pm Galway Tuesday 4 September, 8.00-10.30am Limerick Tuesday 4 September, 4.00-6.30pm Cork Wednesday 5 September, 9.00-11.30am Dundalk Monday 10 September, 4.00-6.30pm Kilkenny Wednesday 12 September, 4.00-6.30pm. Final date for booking for all venues is Monday 27 August 2012. Venue details will be emailed with confirmation of your booking. If you are interested in attending, please register now by emailing xbrl@ charteredaccountants.ie stipulating the location at which you wish to attend. CIMA Ireland member events To keep up to date with CIMA CPD events taking place around Ireland, please visit www.cimaglobal.com/irelandevents

A co-operative approach While the process of migration will, in many cases, be very straightforward, Revenue recognises that, for some, this will be a big change. Throughout the transition we in Revenue will be providing help and support where it is needed. In particular, we are committed to a tolerant and supportive response where practitioners or taxpayers have genuine difficulties in meeting their iXBRL obligations in the early stages of the new approach. To date, the move to iXBRL has been hallmarked by excellent co-operation between Practitioner bodies and Revenue. Hopefully this spirit will continue to make the transition as smooth as possible for all of us. In partnership with Business Reporting Ireland, Revenue will be holding a series of awareness events in September for practitioners. For details see right.

For further information please refer to Tax Briefing 04/2012 available on the Revenue website, telephone Martin Roche at (01) 6131800 or Pat Mulhall at (01) 6131850 or email us at iXBRL@revenue.ie.

NETWORK NEWS | Summer 2012

Get headhunted today! Upload your CV to CIMA MY JOBS Let us do the hard work for you as we can get your CV in front of employers. You can even choose to hide your CV from specific employers if you wish. CIMA MY JOBS quick search Key features Career advancement

Advanced search

Upload your CV Take the hassle out of job seeking and let employers find you by adding your latest CV. Register for job alerts by email Receive personalised jobs by email with the latest jobs that match your needs. Simpler job search Find the right job for you with more relevant search results and apply in a few clicks. Salary surveys and career advice Find out what youâ&#x20AC;&#x2122;re worth by accessing our global salary surveys.

MY JOBS