Tax Automation

Using the Tax Automation process, the system copies the Net Income Before Tax from the entity’s income statement into the Net Income Before Tax row of the Current Provision. This ensures that the starting point of the Current Provision equals pretax income of the legal entity's financial statements. The Tax Automation process can also be used to automate the amount of Net Income Before Tax adjustments that flow to the Current Provision (for example, Book adjustments and Book reclassifications).

Using the Permanent and Temporary Difference automation process, Oracle Hyperion Financial Management uses the Balance Sheet and Income Statement data to populate those permanent and temporary differences, which can be automated from the general ledger to reduce reconciliation time and increase accuracy.

The Application Administrator defines the source and destination members, and runs the Tax Automation process.