Updating Acquisitions Information

If your company had any regional acquisitions in the previous year, you can manually input the gross and net amounts and the system will not calculate the deferred taxes. Any rate changes that result from acquisition information are calculated by the system.

Acquisitions input app (RA1303)

Use this input app to manually input any temporary differences, net operating losses, credits, etc for any acquisitions.

The following is a summary of the standard Longview purchase accounting process:

• The system allows for multiple purchases during a year.
• For each period there is an acquisition input app that allows you to input the following values for each temporary difference, carryforward, and credits for a company acquired in the current period.

This input app contains the following symbols in the Elements dimension (across):

• GrsAcqCur_IAS — Acquisitions Gross

  Use this Element to input the regional gross amount for the temporary difference at the date of acquisition for the national temporary differences.

• NetRAcqCur_IAS_Input — Regional Acquisitions Net

  Use this Element to input the regional deferred tax amount for the national temporary differences.

• NetRRCAcqC_IAS_Input — Deferred Tax Impact - Change in Tax Rates ACQ CUR

  Use this Element to input the adjustment to the regional deferred tax expense due to tax rate differences between the acquired tax assets and liabilities and the acquiring entity’s tax rate. It is common for the tax rate of the acquired company to be different than the acquirer therefore requiring an adjustment to the national deferred tax expense.

To update regional acquisitions:

1. In the Tax Provision navigation pane, click Data Collection.
2. Expand Regional Annual.
3. Use the drop-down list or the symbol selector to select the appropriate entity. For more information, see Using the Symbol Selector.
4. Click RA1303 - Acquisitions.lvapp. The input app opens in the workspace.
5. In the RegTemp — Total Regional Temporary Differences category, enter data for the following symbols:

   1. GTxxx — Company-specific Company-specific GAAP/IFRS to STAT: Company-specific GAAP/IFRS to STAT temporary differences.

   2. STxxx — Company-specific: Company-specific STAT to Tax temporary differences.

   3. ITemp — IFRS Temporary Differences: IFRS temporary differences.

   4. RTemp — Company-specific: Company-specific regional temporary differences.

6. Expand RegNLossT_IAS — Total Regional Tax Loss category, and enter data for the following symbols:

   1. RegNLossCYGA_IAS — Regional Tax Loss - CY Generated - Adjustment: Manual adjustment for the calculated net operating loss.

   2. RegNLossCYU_IAS — Regional Tax Loss - CY Utilized: Utilization of an existing net operating loss carryforward in the current period.

   3. RegNLossCA_IAS — Regional Tax Loss - Consolidating Adjustment: Impact of any consolidated level adjustment to net operating losses at the legal entity level.

7. Expand the RegTaxCRT — Total Regional Tax Credits category, and enter data for the following symbols:

   1. RegOthTaxCY — Regional Other Tax Credits – Current: Current regional tax credits.

   2. RegOthTaxNC — Regional Other Tax Credits - Non-Current: Non-current regional tax credits.

8. When you are finished, click Submit.