ACTUAL PERMANENT DIFFERENCES

In the Actual Permanent Diffs page, users can enter differences that will not reverse in the future. Examples include permanently disallowed expenses, certain types of goodwill amortization, and tax-exempt interest. In order to view this page, the page must be selected in Manage User Permissions.

Enter a separate line item for each permanent difference:

1.Select the Code-Description and then Tag or Class/Sub-Class.
2.Select the type of the permanent difference item. It will usually be a P&L adjustment. However, if users are entering an item that does not have any impact on the current tax expense; for example, stock option expense, select E - Equity Adjustment.
3.Enter the amount of the permanent difference in local currency.
4.Click Add New to create the permanent difference.

 

•The impact of individual permanent differences on the tax provision can be viewed on the Interim Provision report and the Effective Rate report.
•Users can attach files to an individual permanent difference item on this page. If users have supporting documents, click the paper clip or filing cabinet next to the item.
•Users have the ability to add and update notes to a line item. Users may click on the notes icon then add notes.

 

Notes:

•Refer to the Where to Enter Items in ONESOURCE Tax Provision section for more information on the different types of permanent difference items.
•If a new permanent difference item is required, contact the Corporate Tax Department.