Malaysia’s Companies Commission (SSM) has drawn a hard line in the sand: Effective from June 1, 2025, all companies must submit their Audited Financial Statements (AFS) in XBRL format via MBRS 2.0. What was once seen as just another regulatory update has now become a compliance pressure cooker for thousands of enterprises and company secretaries. This deadline marks the end of manual, over-the-counter submissions and the full transition to digital regulatory reporting through the Malaysian Business Reporting System (MBRS). 

With tight timelines, complex XBRL requirements, and zero room for error, the risks of delayed or inaccurate submissions are higher than ever — and the consequences, far-reaching. If you are still relying on outdated filing methods or struggling to cope with the complexities of XBRL, the time to act is now. 

MBRS 2.0: The Clock Is Ticking 

The MBRS 2.0, officially launched on September 25, 2024, represents a major digital overhaul of Malaysia’s corporate filing ecosystem. It aims to standardize and automate the filing of financial and non-financial documents in XBRL (eXtensible Business Reporting Language) — a global standard for digital business reporting. 

The shift is being implemented in three phases: 

• Phase 1 (Dec 1, 2024) – Annual Returns and unaudited reports under the Companies Act 2016 

• Phase 2 (March 1, 2025) – Annual Returns under the Companies Act 1965, foreign company filings, and regulated entities (e.g., Bank Negara Malaysia institutions) 

• Phase 3 (June 1, 2025) – Audited Financial Statements (AFS) submissions in XBRL become mandatory for all companies 

Once Phase 3 is enforced, all Malaysian entities—local, foreign, and regulated—must file AFS via MBRS 2.0 in XBRL, completely eliminating manual, paper-based processes. 

Why Compliance Is Crucial? 

Failure to comply with MBRS 2.0 effective from June 1 can result in regulatory penalties, reputational damage, and administrative complications. But it goes deeper than just avoiding fines — regulatory reporting is foundational to good governance, investor trust, and operational transparency. 

Key reasons why timely MBRS compliance is non-negotiable: 

• Legal Obligation: As per the Companies Act 2016, timely and accurate submission of AFS is mandatory. Non-compliance may lead to prosecution or hefty fines by SSM. 

• No More OTC Submissions: All over-the-counter or manual submissions are being phased out. MBRS 2.0 will be the sole channel for AFS filings. 

• Public Accessibility: Filed XBRL documents are accessible through SSM portals. Inaccurate or non-compliant filings could directly affect stakeholder perceptions. 

• Audit Trail & Data Integrity: Digital filing in XBRL provides a strong audit trail and improves data integrity, essential for corporate governance and transparency. 

• Operational Risk: Delays in adopting the MBRS format could result in last-minute compliance scrambles, bottlenecks, and errors — especially for firms managing hundreds of clients. 

Common Challenges Faced by Secretarial Firms 

The transition to MBRS 2.0 comes with a steep learning curve, especially for company secretarial firms, audit firms, and compliance officers. Here are some of the most pressing issues they face: 

1. Heavy Filing Workload

Tagging a single AFS report in XBRL can take up to two full working days. For firms managing filings for multiple clients or subsidiaries, the time investment is overwhelming. 

2. Seasonal Workload Spikes

Peak filing seasons — like May to July — can see filing volumes double or triple, straining internal teams and requiring costly temporary hires. 

3. Lack of In-House Expertise

XBRL is technical and niche. Training staff takes time and money. Many firms struggle to maintain skilled resources year-round. 

4. High Error Risks

Manual tagging and Excel-based processes increase the risk of: 

• Incorrect taxonomy mapping 

• Validation errors in MBRS mTool 

• Rejected filings due to schema issues 

5. Outsourcing Is Not Foolproof

Even if tagging is outsourced, the ultimate responsibility for the accuracy of submissions lies with the company. Every XBRL file must be thoroughly reviewed before submission. 

IRIS Instant: Your MBRS 2.0 Compliance Lifesaver 

In this high-pressure situation, automation is not optional – it’s essential. IRIS Instant is an AI-powered XBRL filing solution specifically designed for MBRS 2.0. 

What is IRIS Instant? 

IRIS Instant is a cloud-based platform that enables companies to convert PDF-based financial statements into XBRL format in minutes, not days. It is powered by the same XBRL validation engine certified by XBRL International that also supports the MBRS mTool and mPortal — ensuring full alignment with SSM requirements. 

How IRIS Instant Works 

Here’s how IRIS Instant simplifies the entire XBRL filing process: 

Step 1: Upload & Scan 

Upload your audited financial statements in PDF format. The platform’s AI extracts all relevant financial data intelligently. 

Step 2: Review & Edit 

Review the auto-tagged content using intuitive webforms. IRIS Instant smartly suggests the most accurate tags based on your previous submissions and industry best practices. 

Step 3: Generate & Submit 

Export your ready-to-submit XBRL files. The system performs rigorous validation checks in real-time to ensure error-free submission to MBRS 2.0. 

Features That Make IRIS Instant the Best Fit 

Ideal for Company Secretarial  

IRIS Instant was built with volume filers in mind – firm’s managing dozens or hundreds of clients. By automating repetitive tagging tasks, it: 

• Reduces turnaround time from 2 days to just a few hours 

• Cuts down manual errors 

• Helps handle seasonal peaks without hiring surges 

• Empowers staff to focus on review and strategic tasks rather than data entry 

Tailored Plans for Your Needs 

Whether you’re looking for a DIY compliance tool or want a turnkey service, IRIS Instant has you covered: 

IRIS Instant 

• Full access to the platform 

• AI-powered tagging 

• Webform-based editing 

• MBRS-ready output 

IRIS Instant + Review 

• All of the above, plus: 

• Expert tagging validation 

Don’t Wait Until the Deadline 

With the June 1, 2025, deadline fast approaching, the window for trial and error is closing. Organizations that delay transitioning to MBRS 2.0 risk non-compliance, rework costs, and reputational damage. 

Get Started Today

Regulatory compliance is no longer a back-office task. It’s a strategic imperative that demands speed, accuracy, and automation. As MBRS 2.0 transforms the corporate reporting landscape in Malaysia, don’t be caught unprepared.

IRIS Instant is here to ensure that your transition is smooth, compliant, and future-ready. Try IRIS Instant for free and experience how easy XBRL filings for MBRS 2.0 can be.