Corporate Sustainability Reporting Directive (CSRD)

The EU's comprehensive sustainability disclosure framework. Mandatory for 50,000+ companies operating in Europe — from large EU entities to listed SMEs and non-EU companies with significant EU presence. Double materiality, ESRS standards, digital iXBRL tagging, mandatory assurance.

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Who Must Comply?

  • All EU large companies (500+ employees OR €50M+ revenue OR €25M+ assets)
  • Listed SMEs in EU (from 2026, reporting 2027)
  • Non-EU companies with €150M+ EU revenue and EU subsidiary/branch (from 2028, reporting 2029)
  • All reports must be in ESEF format (XHTML with iXBRL tags)
  • Limited assurance mandatory from first report; reasonable assurance from 2028

Phase-in Timeline

FY 2024 → Reporting 2025 (Published 2026)
Large EU companies already under NFRD
FY 2025 → Reporting 2026
All large EU companies (not previously under NFRD)
FY 2026 → Reporting 2027
Listed SMEs (can opt out for 2 years)
FY 2028 → Reporting 2029
Non-EU companies with significant EU operations

ESRS Standards (European Sustainability Reporting Standards)

1
ESRS 2: General Disclosures
2
ESRS E1: Climate Change
3
ESRS E2: Pollution
4
ESRS E3: Water & Marine Resources
5
ESRS E4: Biodiversity & Ecosystems
6
ESRS E5: Resource Use & Circular Economy
7
ESRS S1: Own Workforce
8
ESRS S2: Workers in Value Chain
9
ESRS S3: Affected Communities
10
ESRS S4: Consumers & End-Users
11
ESRS G1: Business Conduct

ESRS 2 is mandatory for all. E/S/G standards require materiality assessment to determine applicability.

Double Materiality Assessment

CSRD requires double materiality — assessing both:

  • Impact Materiality: How your business affects people and planet (inside-out)
  • Financial Materiality: How sustainability issues affect your financial performance (outside-in)

If an issue is material on either dimension, you must report on it. ESGTally's materiality module guides you through both lenses.

How ESGTally Helps

ESRS-Mapped Data Collection

Pre-built KPI library covering all ESRS disclosure requirements. Materiality filters automatically show/hide non-material standards.

iXBRL Tagging Engine

Auto-tag your sustainability report in ESEF-compliant XHTML+iXBRL format — ready for upload to national OAMs (Officially Appointed Mechanisms).

Assurance Pack Generator

Export a clean audit trail with all evidence files, calculation lineage, and approval logs — saves your assurance provider weeks of diligence.

Get CSRD-Ready

Our CSRD specialists can conduct your double materiality assessment, prepare your first report, and coordinate assurance.

Related Resources

GUIDE

CSRD vs. NFRD: What Changed?

Read more →
TOOL

CSRD Applicability Checker

Check now →
WEBINAR

Double Materiality in Practice

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