Compliance & Standards

REDA Financials AI is built for organisations that have to get compliance right — across countries, currencies, and accounting standards. It is an enterprise-grade financial platform: your data stays in your own Salesforce environment, every entry is traceable, and the application is designed to support the standards the world’s finance teams actually report against. This page summarises what that means, module by module, with real examples.

Built for enterprise trust

Security and data protection come first. REDA runs a formal information security programme and is delivered natively on Salesforce:

• ISO 27001 and SOC 2 Type II — REDA’s security programme is built and certified to these standards for the confidentiality, integrity, and availability of your data.
• GDPR & CCPA — data handling, privacy, and deletion practices aligned with global data-protection law.
• Your data stays in your org. Because REDA is Salesforce-native, your accounting data lives in your Salesforce environment, under your access controls — not in a separate third-party system.
• Trusted infrastructure. It runs on the Salesforce platform, whose data centres carry SOC 1/2, ISO 27001, and FedRAMP attestations.

Accounting standards, module by module

Here is how REDA maps to the global standards across the platform. The examples use Meridian Properties Group, a company running a US entity and an India entity.

Foundational accounting

Supports IFRS and US GAAP (and local GAAP) through configurable reporting frameworks, with multi-entity and multi-ledger foundations built for group reporting and consolidation. Each entity runs on an accrual or cash basis, and accounting periods with book closure enforce proper period-end cut-off.

In practice: Meridian’s US entity reports under US GAAP and its India entity under Ind AS / IFRS — each maps its chart of accounts to the right reporting framework and closes its own periods independently.

Tax & withholding

Handles VAT, GST, sales tax, and withholding tax (WHT / TDS) by jurisdiction, from ready-made per-country tax packs. It distinguishes recoverable from non-recoverable tax — capitalising non-recoverable tax into asset cost per IAS 16.

In practice: an Indian vendor bill computes GST and deducts TDS under the Income Tax Act; a UK sale adds VAT output tax; a US sale applies the right state sales tax — each posting to the correct tax control account.

Posting engine

Every transaction is recorded with double-entry bookkeeping — debits always equal credits. The ledger is immutable: posted entries cannot be edited, only corrected through proper reversing or adjusting entries, and closed periods are protected from further posting.

In practice: when Meridian voids a posted invoice, REDA generates a traceable reversing entry rather than deleting anything — so the audit trail stays intact and the books always balance.

Multi-currency

Foreign-currency accounting follows IAS 21: transactions are recorded at the rate on the transaction date, and realised foreign-exchange gains and losses are calculated and posted on settlement.

In practice: Meridian’s US entity buys from a euro-denominated vendor; REDA records the bill at the day’s rate and books the FX difference automatically when the bill is paid.

Revenue & expense recognition

Income and expense are recognised on an accrual or cash basis per entity, in line with the matching principle and the recognition concepts of IFRS 15 / ASC 606.

In practice: Meridian’s accrual-basis US entity recognises revenue when it issues the invoice; a cash-basis entity would recognise it when the cash is received.

Fixed assets & depreciation

Asset accounting follows IAS 16 (property, plant & equipment) and IAS 36 (impairment), with multiple depreciation methods — straight-line, declining balance and double declining balance, written down value (block), and immediate / full expense — plus manual and units-of-production schedules you maintain yourself where a jurisdiction demands something bespoke.

In practice: a Meridian machine depreciates straight-line over its useful life with the convention and residual value its Asset Type prescribes; an impairment recalculates the remaining schedule per IAS 36.

Financial reporting

Produces the core statements — Trial Balance, Income Statement, Balance Sheet, and a Cash Flow Statement classified into operating, investing, and financing activities per IAS 7 — against the reporting framework you choose.

In practice: each GL account carries its IAS 7 cash-flow category, so Meridian’s cash flow statement builds automatically and correctly.

Audit trail & internal controls

Designed around SOX and the COSO internal-control framework: a centralized audit trail records who did what, when, and from which IP address — including the before-and-after of changed fields — backed by field history, the immutable ledger, and role-based segregation of duties.

In practice: when an auditor asks who changed an amount and when, Meridian can show the exact user, timestamp, and old-and-new value from the audit trail.

Where to go next

1. Segregation of Duties & Security — the control principle behind compliant books.
2. Key Concepts & Terminology — the vocabulary the rest of this KB builds on.
3. Why Salesforce-Native Accounting — one security and audit story.
4. Permission Set Assignment — enforce who can do what.
5. Audit Logging — the evidence trail for auditors.

Frequently asked questions