Tax Provision

Reporting Levels:

Unit

 

Sub-consolidation

Consolidation

Control Center Configurable Options:

Dataset

Unit

 

Sub-consolidation

Currency

Source Data:

All Data Input Screens

Available Views:

Unit Breakout / Unit Breakout Comparison

 

The Tax Provision (State) report in the Provision dataset displays the state tax provision calculations for the state selected in the Control Center. Supporting detail for calculations can be viewed on separate reports. Selecting an amount with a hyperlink opens a supporting report.

Note: A Deferred Provision Only adjustment can cause this report and the Deferred Balances report to be out of balance by the amount of the Deferred Provision Only Adjustment.

 

Provision Items

•Current State Tax Expense
•Deferred State Tax Expense
•State Equity Offset to Current Expense
•Total State Tax Provision

 

Report Views

•Defaults to a detail view.
•Selecting Unit breakout generates an Excel spreadsheet that details the unit-by-unit underlying calculations for the state's provision expenses.

Note: The Total Effective Tax Rate does not tie to the Effective Tax Rate report and the mix of Federal deducibility causes this report to not tie to other reports.

•The Unit breakout comparison view option allows you to create a side-by-side comparison of two datasets. The result is a total and unit-by-unit variance report. It displays on the screen or exports to an Excel file, depending on the version and parameter settings.

 

Line by Line

•Pre-Tax Book Income: Data Input> Federal > Unit Details > PTBI.
•Permanent Differences includable for State: Data Input > Federal > Permanent Differences and InterCompany Transaction Entry, where includable status is Yes.
•Modifications: Data Input > State > State Permanent Differences.
•Temporary Differences includable for State: Data Input > Federal > Temporary Differences - Tax Basis and Temporary Differences - Book/Tax Basis, where includable status is Yes. Only amounts entered as Activity. Deferred Only and Balance Sheet Only entries do not impact the current tax provision calculation.
•Temporary Difference Adjustments: Data Input > State > State Temporary Differences - Tax Basis. Only amounts entered as Activity. Deferred Only and Balance Sheet Only entries do not impact the current tax provision calculation.
•Allocable Income: Sum of Pre-Tax Book Income, Permanent Differences includable for State, Modifications, Temporary Differences includable for State, and Temporary Difference Adjustments lines.
•State Apportionment Percentage: Data Input > State > State Details. Only displays at the Unit level. To view this line in the consolidated or sub-consolidated level, select Unit breakout.
•Apportioned Income Pre-NOL: Allocable Income line times State Apportionment Percentage line.
•NOLs: Data Input > State > State After Apportionment Temporary Differences - Tax Basis.
•Apportioned Income: Sum of Apportioned Income Pre-NOL and NOLs lines.
•State Tax Rate: Data Input > State > State Details. Displays only at the Unit level. To view this line in the consolidated or sub-consolidated level, select Unit breakout.
•Tax Before Credits: Apportioned Income line times the current State Tax Rate line.
•After Tax State Temporary Differences: Data Input > State > State After Tax Temporary Differences - Tax Basis. Only amounts entered as Activity. Deferred Only and Balance Sheet Only entries do not impact the current tax provision calculation.
•Cash Tax Adjustments: Data Input > State > State Tax Adjustments. Only "cash" items with codes that do not start with NC_.
•Cash Provision: Sum of Tax Before Credits, After Tax State Temporary Differences and Cash Tax Adjustments.
•Non-Cash Tax Adjustments: Data Input > State > State Tax Adjustments. Only "non-cash" items with codes that start with NC_.
•Current State Provision: Sum of Cash Provision and Non-Cash Tax Adjustments.
•Begin Deferred Tax Per B/S: The Total Beginning Balance column of the Deferred Balances report with the State view option.
•Balance Sheet Only Adjustment: Data Input > Federal > Temporary Differences - Tax Basis, Temporary Differences - Book/Tax Basis, NOL Temporary Differences - Tax Basis plus Data Input > State > State Temporary Differences - Tax Basis times the appropriate rates and apportionment Percentage plus Data Input > State > State After Apportionment Temporary Differences - Tax Basis times the appropriate rates plus Data Input > Federal > After Tax Temporary Differences - Tax Basis and After Tax Temporary Differences - Book/Tax Basis plus  Data Input> State > State After Tax Temporary Differences - Tax Basis. Only amounts entered as Balance Sheet Only entries do not impact the current tax provision calculation.
•Ending Deferred Tax Per B/S: The Total Ending Balance column of the Deferred Balances report with the State view option.
•CTA: The Total CTA column of the Deferred Balances report with State or State+FBOS and Expanded (income statement) view options.
•Deferred Provision Only: Data Input > State > State Details.
•Deferred Tax Provision: Begin Deferred Tax Per B/S plus Bal Sheet Only Adjustment minus Ending Deferred Tax Per B/S plus CTA and Deferred Provision Only lines.
•Equity Adjustment: Data Input > Federal > Permanent Differences. Reversal of the impact to the current provision for Equity Adjustment Permanent Differences.
•Total State Provision: Sum of the Total Current Provision, Deferred Tax Provision, and Equity Adjustment lines.