Completing The National Actual Tax Process
Completing The National Actual Tax Process
Before you begin your annual tax charge process, Tax Provision automates the population of profit before tax (pre-tax income) from the income statement of the entity. The Tax Administrator imports the chart of accounts data, which includes profit before tax by legal entity. The chart of accounts is used to transfer the entity’s profit before tax into...
Updating The Fixed Assets Schedule
Updating The Fixed Assets Schedule
The fixed asset process allows you to provide supporting information to generate the fixed asset temporary differences. The input app and report take the form of three columns: tax base, accounting carry value, and temporary difference. Opening tax and accounting values are populated from the previous period, and you enter movements in the period (acquisitio...
Updating And Reviewing Asset Depreciation
Updating And Reviewing Asset Depreciation
This section applies to Canadian entities and explains the input apps required to process depreciable assets for the tax year. Tax Provision has several input apps and reports to facilitate in calculating Capital Cost Allowance and Cumulative Eligible Capital for depreciable assets.
The asset depreciation schedules include:
Capital Cost Allowance inp...
Updating And Reviewing The Current Tax Charge
Updating And Reviewing The Current Tax Charge
After the Tax Administrator imports data into the system, Tax Provision automatically calculates and populates profit before tax and permanent and temporary differences. You can then access the Current Tax Charge input app (NA1201) to review and post adjustments to the automated profit before tax and permanent/ temporary difference amount. In addi...
Inputting Top-Side Reporting Currency Adjustments For Net Income Before Tax
Inputting Top-Side Reporting Currency Adjustments For Net Income Before Tax
You can use the NIBT Reporting Currency Only Adjustments input app to enter reporting currency adjustments for net income before tax.
NIBT Reporting Currency Only Adjustments input app (NA1299)
Use this input app to enter reporting currency adjustments for the net income before tax. This input app contains the GrsCY_...
Updating Acquisitions Information
Updating Acquisitions Information
If your company had any acquisitions in the previous year, you can manually input the gross and net amounts and the system will not calculate the deferred taxes. You should also input any rate changes that resulted from acquisition information.
Acquisitions input app (NA1303)
Use this input app to manually input any temporary differences, net operating losse...
Updating And Reviewing Gross Temporary Difference Rollforward Activity
Updating And Reviewing Gross Temporary Difference Rollforward Activity
Tax Provision is set up to maintain and automate, where possible, the rollforward of each legal entity’s detailed gross temporary differences by disclosure category. Beginning of year gross temporary differences are rolled over from the prior year end. These values are then adjusted for current year adjustments, return to ...
Reviewing The Deferred Tax Account Reports
Reviewing The Deferred Tax Account Reports
Tax Provision calculates a detailed deferred tax and deferred tax charge. Deferred taxes and tax charges are calculated by legal entity and temporary difference.
Deferred Tax Account report (NA1401)
This report contains tax-affected data for the accounts that appear in the Temporary Differences input app (NA1301) and report.
Tax Provision automatica...
Reviewing The Deferred Tax Not Recognised Report
Reviewing The Deferred Tax Not Recognised Report
For additional information related to deferred tax not recognised, use the Deferred Tax Not Recognised - Proof report (NA1406).
Deferred Tax Not Recognised - Proof report (NA1406)
You can use the Deferred Tax Not Recognised Proof report to view additional information related to the Deferred Tax Not Recognised process and calculations.
This rep...
Reviewing The National Actual Rate Reconciliation And Total Tax Charge Reports
Reviewing The National Actual Rate Reconciliation And Total Tax Charge Reports
Tax Provision calculates the effective tax rate (ETR) reconciliation at the statutory and consolidated levels.
The statutory and consolidated rate reconciliation reports capture the following items on a gross and tax-affected basis from Tax Provision:
net income before tax
net income before tax adjustments
permane...
Updating And Reviewing The Tax Account Rollforward
Updating And Reviewing The Tax Account Rollforward
You can use the Tax Account Rollforward (TARF) input app to include additional amounts in the Tax Account Rollforward (TARF) report that are not populated from other calculations. This includes prior year adjustments and adjustments to current tax balances from acquisitions, disposals, and transfers, and tax cash payments or receipts.
Tax Ac...
Updating And Reviewing The Current Tax Account
Updating And Reviewing The Current Tax Account
You can use the Current Tax Account input app to include additional amounts in the Current Tax Account report that are not populated from other calculations. This includes prior year adjustments and adjustments to current tax balances from acquisitions, disposals, and transfers, and tax cash payments or receipts.
Current Tax Account input app (N...
Inputting Top-Side Reporting Currency Adjustments
Inputting Top-Side Reporting Currency Adjustments
Tax Provision allows you to enter top-side adjustments, which are adjustments that are recorded after the legal entity general ledgers have been closed.
Use the Reporting Currency Only Adjustments input app (NA1599) to provide flexibility where the translations in the tax database may not match the financial statements.
Reporting Currency Onl...
Inputting Top-Side Reporting Currency Adjustments For Tax Account Rollforward
Inputting Top-Side Reporting Currency Adjustments For Tax Account Rollforward
Tax Provision allows you to enter top-side adjustments, which are adjustments that are recorded after the legal entity general ledgers have been closed. Use the TARF Reporting Currency Only Adjustments input app to provide flexibility where the translations in the tax database may not match the financial statements....
Updating Carryover Losses And Credits
Updating Carryover Losses And Credits
If your company has carryover losses and credits, you can manually input the associated amounts of the loss/credit into the appropriate year of expiration row in order to more accurately track the ending deferred balance by year of expiration. You can also provide supplemental detail regarding the expected short-term and long-term utilization for losses a...
Reviewing Carryover Losses And Credits
Reviewing Carryover Losses And Credits
If your company has carryover losses and credits, you can view the associated amounts of the loss/credit in the appropriate year of expiration row in order to more accurately track the ending deferred balance by year of expiration. You can also view supplemental detail regarding the expected short-term and long-term utilization for losses and credits, al...