What Types of Tax Provisioning Can Be Done

The following has been taken from the Tax Provision Blueprint "Instruction Guide" starting at page 17.

See KB article: "Tax Provision Blueprint Instruction Guide - PV7.3.0 SV100" 

What Types of Tax Provisioning can be Done?

OneStream Tax Provision Blueprint computes national and local tax provisions for an unlimited number of countries and local jurisdictions.  The computation of tax provision includes current and deferred tax expense computations and related balance sheet account roll forwards.  The system provides forms and computations to capture the impact of tax return true up, the financial statement impact of losses, credits and other tax attributes, and any payments or other activity that impacts tax accounts. 

Forecast scenarios are included to calculate the full year forecasted tax provision for the current year’s required period. Discrete data and losses not benefited are accounted for in the computation of the Interim Reporting run rate. This rate is then used to compute the Actuals period Applied Interim Reporting ETR.

We can compute national and/or local tax provisions by filing group (“Group Filing”) with the related ability to control entity/filing group relationships through easily managed dashboards. Group filing (GF) refers to the aggregated computation of tax provision for a group of entities, with the combined results of the computations recorded on one of the entities within the group.  Group filing may be adopted for national and/or local tax provision computations.  When group filing is adopted in OneStream Tax Provision Blueprint, the UD7 dimension is used to store income and book tax adjustment information for the entity/members of the group.  The following types of tax provision ‘groupings’ can be computed in this release:

• National JD with no GF – create a National tax provision with no group filing. Each entity calculates their own National tax provision.
• National JD with GF – create a National tax provision using group filing. One or more entities calculates a tax provision on behalf of a group of entities for the National JD.
• Local JD with no GF – create a Local JD tax provision with no group filing. Each entity calculates its own local jurisdiction tax provision for the local jurisdictions for which it is responsible.
• Local JD with GF – create a Local tax provision using group filing. One or more entities calculates a tax provision on behalf of a group of entities by each local JD.
• Any combination of the above can be used for each country.

When Group Filing is required, a country specific “LocalGroupFiler” and/or a “NatGroupFiler” workflow will be required.  Only one of each can be used per country. 

When a country contains one entity that is a ‘GroupFiler’, the entire country (jurisdiction) is subject to national group filing treatment in OneStream. 

Similarly, when a country contains one or more local jurisdictions that require Group Filing, all local jurisdictions in that country are subject to local group filing treatment in OneStream.

See below example where Entities 1 through 4 are filing as a group, while entities 5 through 7 would effectively be separate company filings, all defined on the same group filing definition form.

The Tax Provision Blueprint enables computation of the following combinations of group filings: