Current Provision

The Current Provision (CurrentTaxExpense) account hierarchy structure contains all tax Parent accounts to be used for Current Provision calculations. The accounts for total Permanent Differences and Temporary Differences are included in the structure, as well as the total Tax Credits accounts and additional Current Provision accounts. You should include applicable tax accounts (for example, permanent, temporary differences) as required.

The account hierarchy structure setup for Current Provision below is system-defined. You can replace parents of base permanent and temporary difference accounts, but not the ultimate parent for that section, such as GAAP to Stat (for example, PermGSTotal), or Stat to Tax

For example, parent account PermGSTotal (Total Permanent Differences GAAP to Stat) consists of individual Permanent Difference account entries. Three Permanent Difference detail accounts (*) are included as part of the sample tax application as examples.

Sample list of Permanent Difference accounts

You should replace these accounts with your specific Permanent Difference accounts. You can add Permanent Difference account entries to the account structure. See Adding a Permanent Difference (GS or ST) or a Regional Account.

Table 3-7 High-level explanation of the account structure used for the National Current Provision

Account	Description	Method data is entered	Entered as PreTax or TaxEffected	Applies to National, Regional, or Both	Comment
NIBT	Net Income Before Tax	Tax Automation	Pre-Tax	Both
NIBTBA	Total book adjustments to NIBT	Tax Automation or manually entered	Pre-Tax	Both	The total Book adjustment consists of individual adjustment detail accounts
NIBTRA	Total book reclass to NIBT	Tax Automation or manually entered	Pre-Tax	Both	The total Reclass adjustment consists of individual reclassification detail accounts
NIBTAdjusted	NIBT Adjusted	Calculated based on account aggregation
PermGSTotal	Permanent Differences (GAAP to Stat)	Tax Automation or manually entered	Pre-Tax	Both	The total Permanent Difference consists of individual Perm detail accounts
TempGSTotal	Temporary Differences (GAAP to Stat)	Tax Automation or manually entered	Pre-Tax	Both	The total Temporary Difference consists of individual Temp detail accounts
NIBTLS	Local Statutory Net Income Before Tax	Calculated based on account aggregation
PermSTTotal	Permanent Differences (Stat to Tax)	Tax Automation or manually entered	Pre-Tax	Both	The total Permanent Difference consists of individual Perm detail accounts
TempSTTotal	Temporary Differences (Stat to Tax)	Tax Automation or manually entered	Pre-Tax	Both	The total Temporary Difference consists of individual Temp detail accounts
DeductIncTaxReg	Deductible regional income taxes	Calculated based on account aggregation	Pre-Tax	Both	The amount calculated in Regional Provision, which can be deducted for National tax
DeductIncTaxOther	Other deductible income taxes	Manually entered	Pre-Tax	Both	Other income tax amount that is deductible for National Provision
DeductIncTaxTotal	Deductible Income Taxes	Calculated based on account aggregation			Total Deductible Income Tax is the sum of Deductible Regional Income Taxes and other deductible income taxes
TaxableIncomeBeforeLoss	Taxable Income Before Loss	Calculated based on account aggregation
TaxLoss0001CFS	Tax Losses - Carryforward Automated	Manually entered	Pre-Tax	National	The amount manually entered for tax loss
TaxLoss0002CFS	Capital Losses - Carryforward Automated	Manually entered	Pre-Tax	National	The amount manually entered for Capital Losses
TaxLoss0003CFS	Charitable Contributions - Carryforward Automated	Manually entered	Pre-Tax	National	The amount manually entered for Charitable Contributions
TaxLossesCFS	National Tax Losses - Carryforward Automated	Manually entered	Pre-Tax	National	The amount manually entered for tax loss
TaxLossesCFSTotal	Total National Tax Losses - Carryforward Automated	Calculated based on account aggregation	Pre-Tax		Total tax losses
TaxSpecialDeductions	Special tax deductions	Manually entered	Pre-Tax	Both
TaxableIncomeAfterLoss	Taxable Income After Loss	Calculated based on account aggregation
Tax Rate	National Tax rate	Manually entered	N/A	National	The tax rate used to calculate the national tax expense
CurrentTaxTI	Current Tax on Taxable Income	Calculated based on rules			The system calculates the tax amount by applying the tax rate to the taxable income after loss.
TaxCreditTotal	Total Tax Credits	Manually entered	Tax-effected	National	Total Tax Credits consists of individual tax credit detail accounts
CurrentTaxReturn	Current Tax Return	Calculated based on account aggregation
CurrentAddtlSrcTotal	Total additional current provision - source	Tax Automation or manually entered	Tax-effected	National	Total Tax Adjustment to Current Provision consists of individual tax detail accounts
CurrentAddtlManualTotal	Total additional current provision - manual	Manually entered	Tax-effected	National	Total Tax Adjustment to current provision consists of individual tax detail accounts
CurrentAddtlCalcTotal	Total additional current provision - Calculated	Calculated based on rules	Tax-effected	National	Total calculated amounts include adjustments for Return-to-Accrual, SFAS123RRTA and SFAS123RProv
CurrentFXAdj	Reporting Currency adjustments	Manually entered	Tax-effected	National	This amount represents any manual adjustment due to reporting currency differences. This amount is not translated.
CurrentTaxExpense	Current Provision - National	Calculated based on account aggregation