View the income tax position

Overview

The Tax Position function allows users to review the income tax calculation and see the impact each workpaper has on taxable income. It includes both a Statement of Taxable Income and a Statement of Tax Position, as well as the remaining balances of tax losses and non-refundable tax credits. The income tax position can be viewed in four different views.

View the statement of taxable income

From the navigation bar, select Tax Position. The tax position opens in the Tax Return view by default, but can be reviewed in different formats.

The Statement of Taxable Income (SOTI) reconciles accounting profit from the trial balance to taxable profit. Each workpaper that impacts taxable profit will display under either Temporary differences or Permanent differences. The signoff status of each workpaper appears in the far right column and is directly linked to the signoff shown within the workpaper or on the Trial balance page.

The Statement of Tax Position, which sits below the SOTI, reconciles taxable income to net tax to pay or refundable. This is impacted by tax credits added to workpapers, Inland Revenue (IR) transactions, loss, transfer and subvention transactions, and tax pooling.

Alternative formats

Selecting alternative tabs at the top of the page allows you to view the tax position in different formats:

• Tax Provision displays the Statement of Taxable Income and the impact to Current Tax Expense, Deferred Tax Expense, Deferred Tax Balance, Current Tax Balance and Other Balance.
• Analysis by year displays the tax calculations for multiple years if the data is in the software.
• Analysis by version displays tax calculations for multiple versions. This allows the comparison of one version to another, or to live data, to identify variances.

What's Next?

Finalise an income tax return

Related Articles

Add or remove a workpaper

Record tax payments

Add a tax loss

Request an income tax transfer between entities

Add a subvention payment

Add and compare versions