How is the group tax rate calculated?

The group tax rate, as one of the most important tax ratios, is determined from the ratio of current and deferred income tax expense to the group's IFRS earnings before income taxes. The ratio thus provides aggregated information on the Group's tax burden.

What is tax reconciliation?

The tax reconciliation statement in accordance with IAS 12.81 (c) is a mandatory disclosure in the notes to IFRS consolidated financial statements. It reconciles the expected tax expense to the actual tax expense. The tax effects that lead to a higher or lower tax expense must be presented. It is therefore suitable for a well-founded analysis of the Group tax rate.

Does the product support me in my IFRS consolidated financial statements?

The product is used for the downstream analysis of the factors influencing the group tax rate, its development between reporting dates and the identification of optimization potential.

Can individual extensions be taken into account?

In the kick-off talk, we discuss the scope and design of the solution together and in close consultation with you. We can always take individual additions into account. For services beyond this, we charge our daily rate (8-hour day) of € 2,100.

Can follow-up evaluations be provided ad hoc?

Thanks to the workflow developed during implementation, we are able to provide you with follow-up evaluations within the shortest possible time. We determine the reporting cycle in close consultation with you.

Tax & Legal

Tax Rate Analyzer

Automated analysis of the group tax rate

Analyse the group tax rate with the help of the tax reconciliation calculation

The group tax rate and tax reconciliation are mandatory disclosures in the IFRS consolidated financial statements and are determined from the tax reporting of the individual group companies. As it is one of the most important tax indicators, the analysis of the group tax rate is of great importance.

Your benefits

100 %

Individual solution

Get proposed solutions based on your needs and requirements

100 %

Flexibility

Evaluation on demand: View your group tax rate on an annual, quarterly, monthly or daily basis

Workload

Increase the efficiency of your workflows through an automated and standardised approach

Managed service approach

As part of our service, we take into account the individual needs of your company and provide you with an interactive solution that graphically presents the results.

Data collection

In order to be able to prepare your data, we need the totals statement as well as the reconciliation statement and a list of companies from your ERP system. If further analysis is to take place, the extended data requirements will be coordinated with you in the kick-off meeting.

Data preparation

Based on the mandatory disclosures in the consolidated financial statements, a workflow was set up, which classifies the most important key figures and determines further indicators relevant for decision making. The data is checked for plausibility by the PwC Engagement Team.

Data analysis

The prepared data is provided in interactive dashboards in PwC Workbench, enabling immediate graphical evaluation of the tax reconciliation. The dashboard dynamically adapts to the selection of specific years, divisions or subsidiaries. This allows the reconciliation of tax expense and impact on the tax rate to be presented visibly and comprehensively across many levels.

Provision of the results

The interactive dashboards are made available to you in the PwC Workbench as a web environment. Only your designated employees are authorised to access the dashboards. PwC places the highest data security requirements on PwC Workbench, which is hosted in the EU.

In the Spotlight

Visualisation

You get an intuitive and interactive overall view of the group tax rate in different dashboards.

Reconciliation

The tax reconciliation from expected to actual tax expense can be viewed in a waterfall chart for each company.

Insights

The graphical presentations make it easier to recognise and better present deviations of the actual from the expected tax rate.

Loss carryforwards

With the Tax Rate Analyser, you can identify existing and possibly disappearing loss carryforwards with one click. This allows you to take countermeasures in good time.

Pricing

Implementation

Fulfilment of your individual requirements for the analysis.

Kick-off talks and creation of requirements lists
Analysis and validation of data sets
Customisation of the workflow
Visualisation
Provisioning in the workbench

€ 9,500

one-time fee

Follow-up assessments

In the following evaluations, we start with the implemented process and can provide you with the results at short notice.

Analysis and validation of data sets
Visualisation
Provisioning in the workbench

€ 3,000

per assessment

Additional services

If you require individual additional services, we can include these in the managed service on the basis of our daily rate.

e.g. multi-year overviews, trend analyses, data reports and others
further process flow as for implementationg

€ 2,100

per day