Income tax expense reconciliation
Measurement answer
What this metric measures
A source-reported monetary bridge between the tax amount expected from accounting profit and the reported tax expense or income, preserving each adjustment, its sign and the applicable-rate basis.
Specification
Metric specification
- Result format
- Structured table
- Unit
- Tax reconciliation amount (ISO currency at stated scale)
- Reporting basis
- Financial reporting period
- Aggregation
- Bridge rows are non-additive outside one source reconciliation; do not combine group and segment bridges or amount and rate presentations.
- Pillar
- Governance
- Topic
- Economic value, tax and public finance
- Controlled domain
- Tax and economic value
- Entity type
- Metric
Reporting boundary
The bridge retains source order, labels, sign, applicable-rate basis, endpoint and rounding residual. It is not converted into a rate bridge without an admitted method.
Verified source occurrences
Framework coverage
This is one canonical metric. The bindings below show every verified framework occurrence without creating duplicate metric pages. Edition, disclosure, role, and relationship remain source-specific.
- Measurement AuthoritySource evidence
IFRS Accounting Standards
- Publisher
- IFRS Foundation
- Edition
- Official 2021 issued-text snapshot; current operative edition requires reverification
- Requirement
- Not Specified
- Relationship
- Defines Measurement
- Mapping outcome
- Direct Evidence
- Source locator
- Paragraph 81(c) and reconciliation forms PDF p32; paragraphs 84-86 pp34-35
Value structure
Dimensions and units
- Unit
- Tax reconciliation amount (ISO currency at stated scale)
- Reporting basis
- Financial reporting period
Unit meaning: Each ordered row is a signed monetary amount in the same currency and scale, classified as expected-tax start, adjustment or tax-expense-or-income endpoint.
Table fields and units
- reporting entity
- consolidation or segment boundary
- reporting period
- accounting standard and statement location
- applicable tax rate and basis
- Reported value
- Tax reconciliation amount (ISO currency at stated scale)
- Measurement-source edition
- Assurance status
Published dimensions
- Reporting entity.
- Consolidation or segment boundary.
- Reporting period.
- Accounting standard and statement location.
- Applicable tax rate and basis.
- Accounting profit.
- Expected-tax amount.
- Line label and normalized class.
- Sign and endpoint.
- ISO currency and scale.
- Rounding precision.
- Source-reported residual.
Calculation method
Formula information
- Status
- Specified
- Formula type
- Difference
Formula
reported_income_tax_expense − expected_income_tax_expense = Σ(signed_reconciliation_adjustmentᵢ)Apply this formula only with the metric's declared population, reporting period, units, denominator, and method-edition controls.
Variables
| Symbol | Variable | Definition | Unit |
|---|---|---|---|
reported_income_tax_expense | reported income tax expense | Input defined by the reporting boundary for Income tax expense reconciliation. | [ISO currency] at a stated scale |
expected_income_tax_expense | expected income tax expense | Input defined by the reporting boundary for Income tax expense reconciliation. | [ISO currency] at a stated scale |
signed_reconciliation_adjustment | signed reconciliation adjustment | Input defined by the reporting boundary for Income tax expense reconciliation. | [ISO currency] at a stated scale |
Verified sources
Evidence and status sources
Sustopedia checked each record-specific claim directly against primary publisher material. Labels distinguish current measurement authority from future compatibility and corroborative, legal, edition, or method status context. Corroborative evidence can support a stated limitation but cannot establish the core measurement by itself.
Measurement evidence
- Measurement evidenceChecked 15 August 2026
IAS 12 Income Taxes, 2021 issued-text snapshot
- Publisher
- IFRS Foundation
- Edition
- Official 2021 issued-text snapshot; current operative edition requires reverification
- Locator
- Paragraph 81(c) and reconciliation forms PDF p32; paragraphs 84-86 pp34-35
Supports: Supports the measurement definition, boundary, and source-reported fields for Income tax expense reconciliation.
Open official source
Use with context
Interpretation boundaries
Method disclosures required
Source-edition basis: IAS 12 Income Taxes, 2021 issued-text snapshot — Official 2021 issued-text snapshot; current operative edition requires reverification. Retain the exact source edition on every observation; later editions require a separate method profile.
- Reporting entity.
- Consolidation or segment boundary.
- Reporting period.
- Accounting standard and statement location.
- Applicable tax rate and basis.
- Accounting profit.
- Expected-tax amount.
- Line label and normalized class.
- Retain the exact measurement-source edition with every observation.
- Each ordered row is a signed monetary amount in the same currency and scale, classified as expected-tax start, adjustment or tax-expense-or-income endpoint.
Record-specific limitations
- Source line taxonomies vary and can group immaterial adjustments.
- Applicable-rate bases vary.
- The bridge does not establish cash tax, tax avoidance, compliance or the legal cause of an adjustment.
Interpret this metric with the stated reporting boundary, period convention, value shape, and unit. Results prepared with different boundaries or conventions may not be directly comparable.
Measurement evidence supports the core record-specific claims described above. Corroborative evidence can support limitations, while compatibility and status sources provide their separately labelled context. None of these cards by itself determines an organisation's legal applicability, filing readiness, assurance status, or compliance conclusion.