Deferred Tax Under the GloBE Rules and Impacts on MNEs

The jurisdictional effective tax rate (ETR) is an essential element of the Pillar Two GloBE calculation. A key adjustment for determining this is deferred tax – which is becoming more difficult to calculate under the GloBE rules.

Our complimentary OnPoint report examines how deferred tax applies generally, as well as the specific adjustments required under the GloBE rules.

Topics covered:

• Deferred tax impacts on the ETR calculation
• A recap of deferred tax, what it is and key elements
• Practical examples
• GloBE-specific exclusions
• GloBE-specific adjustments
• Recapture rule for deferred tax liabilities
• How to handle losses
• Transitional rules
• Implications for companies

Download your summary of ready-to-use presentation slides to understand the impacts to your global tax position.