1. User's Guide
  2. Regional Tax Process
  3. Return to Accrual Regional

Return to Accrual Regional

Oracle Hyperion Tax Provision provides the ability to true-up the prior-year provision amounts. The tax provision is automatically populated in the form. The return data can be manually input or loaded in the application.

The application allows for multiple years to be analyzed and true-ups posted in the current period. Any data changes to the input schedule initiate automatic calculations to determine the Return to Accrual adjustments required in the current period provision for income taxes (for example, current provision, deferred provision, and so on). The amounts computed flow to the current provision as additional provision items, and into the Temporary Difference form, where the system default assumes all Return to Accrual adjustments impact deferred tax expenses only. Note that the system processes the Return to Accrual in period 13 or P13.

The Return to Accrual may be computed and booked during different quarters depending on the entity. For example, during a calendar year, Canadian entities may book the adjustment in Q3, while U.S. entities may book it in Q4. Therefore, the system is set up to compute a Return To Accrual difference only when a user populates the data, sets the period and year for booking, and calculates the form.

The form contains the following RollForward members (across):

  • CYSys—Provision System—The automated amounts from the provision for the year specified in the POV.

  • CYAdj—Provision Adjustment—The manually input amounts from the provision for the year specified in the POV.

  • CY—Total Provision—The sum of CYSys and CYAdj.

  • CYSys—Return System—The automated amounts from the return for the year specified in the POV.

  • CYAdj—Return Adjustment—The manually input amounts from the return for the year specified in the POV.

  • CY—Total Return—The sum of CYSys and CYAdj.

  • CY—Return-to-Accrual Differences—The difference between the Total Provision and Total Return

When calculated, the amount flowing to the current provision is the amount in the account CurrentTaxReturn/Current Tax per Return. Differences for temporary differences flow automatically when calculated to the column in the temporary difference rollforward—RTADO—Return to Accrual.