Tax disclosures

By Tolley in association with Nick Watson

The following Corporation Tax guidance note by Tolley in association with Nick Watson provides comprehensive and up to date tax information covering:

  • Tax disclosures
  • Required disclosures

IAS 12 imposes a significant number of tax disclosures on a company. These are set out in IAS 12, paras 79 to 88.

The guidance note is split into two parts. Below is a list of all of the disclosures required by IAS 12 and separately there is an example tax note with commentary (see the guidance note IFRS - example tax note).

The following list is also available as a template in Word format, Checklist - IFRS tax disclosure requirements

Required disclosures
IAS 12.79 and IAS 12.80

The following should be separately disclosed:

  • current tax expense (income)
  • any adjustments recognised in the period for current tax of prior periods
  • the deferred tax expense (income) relating to the origination and reversal of timing differences
  • the amount of deferred tax expense (income) relating to changes in tax rates or the imposition of new taxes
  • the amount of benefit arising from a previously unrecognised tax loss, tax credit or temporary difference of a prior period that is used to reduce deferred tax expense
  • deferred tax expense arising from the write down or reversal of a previous write down of a deferred tax asset
  • amount of tax expense (income) relating to those changes in accounting policies and errors that are included in the profit or loss in accordance with IAS 8 because they cannot be accounted for retrospectively
IAS 12.81

Each of the following should be disclosed separately:

    More on Deferred tax and tax disclosures under IFRS: