Additional Provision Items

The system has additional provision items that are manually input or automated on a tax-effected basis. These items are used for taxes that are not based on taxable income or multiplied by a tax rate or other adjustments that are reported in the current provision of the financial statements (for example, FIN48). These additional provision items affect the total tax provision and are reflected in the Effective Tax Rate (ETR ) reports as rate reconciliation adjustments. Below is a list of additional provision items.

Source

• Additional 1

• Additional 2

• Additional 3

• Return to Accrual—Current Tax Expense—Automated

Manual

• Audit Adjustments—Current Tax Expense—(Current and Total Tax Expense)

• Texas Margin Tax— Current Tax Expense—(Current and Total Tax Expense)

• FIN48 Adjustments—Current Tax Expense—(Current and Total Tax Expense)

Calculated

• Return to Accrual—Current Tax Expense—Automated

• Permanent Equity Adjustments—Current Tax Expense—Automated

• Temporary Equity Adjustments—Current Tax Expense—Automated

Signage

The signage of the current provision:

• Pretax income is reflected as a positive value, and a loss is reflected as a negative value. This signage is the same through the calculation of taxable income.

• Tax expense is reflected as a positive value, and a tax benefit is reflected as a negative value. This is true for the presentation of calculated tax, credits, and additional provision items to arrive at the total current provision.