Completing The Regional Actual Tax Process
The following table outlines the IAS 12 regional actual tax process in Tax Provision:
Note: If an owner of a partnership is locked for input, the partnership calculations will fail if changes are submitted to the partnership entity. You can correct this by running the failed partnership calculations for the partnership entity from the Tax Calculations interface once the lock on the owner is released.
| Step | Input apps/reports to use… |
|---|---|
1. Update and review the current tax charge (income statement and equity). |
Current Tax Charge input app (RA1201) Current Tax Charge report (RA1201) Current Tax Charge - Equity input app(RA1202) Current Tax Charge - Equity report (RA1202) |
2. Update regional acquisition information. |
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3. Update and review the regional gross temporary difference rollforward activity using the Temporary Difference method input apps and reports or the Balance Sheet method input apps and reports. |
For the Temporary Difference method: Temporary Differences input app (RA1301) Temporary Differences - Unrecognised Override input app (RA1301U) Deferred Tax Proof report (RA1300) Temporary Differences report (RA1301) Temporary Differences - Unrecognised Override report (RA1301U) Recognised Temporary Differences -Scheduling report (RA1302) For the Balance Sheet method: Temporary Differences input app (RA1301) Temporary Differences - Unrecognised Override input app (RA1301U) Temporary Differences - Balance Sheet Method report (RA1321) Recognised Temporary Differences - Scheduling report (RA1302) Temporary Differences - Unrecognised Override report (RA1301U) |
4. Identify the portion of ending cumulative temporary differences that is unrecognised, short-term recognised, and long-term recognised. |
Temporary Differences Classification -Recognised - Unrecognised report (RA1305) Temporary Differences Recognised report (RA1306) Temporary Differences Classification Forecast report (RA1307) |
5. Review the deferred tax account reports. |
Deferred Tax Account report (RA1401) |
6. Review the regional deferred tax recognised and not recognised reports. |
Deferred Tax Recognised report (RA1405) Deferred Tax Not Recognised - Proof report (RA1406) |
7. Review the regional actual effective tax rate and total tax charge reports. |
|
8. Review the reconciliation report. |
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9. Update and review the current tax account. |
Current Tax Account input app (RA1602) Current Tax Account report (RA1602) |
10. Input any top-side reporting currency adjustments for the regional current tax charge and regional total tax charge (if applicable). |
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11. Resume the National Actual tax process. |