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AMANA consulting GmbH

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www.amana-consulting.de GF Thorsten Funke, Dr. Jörg Ringelstein, Dr. Philipp Stampfuß Beirat Christian Groove

GlobalTaxCenter

User Documentation Version 10.00 and higher

AMANA consulting User Documentation – Table of Contents Seite 2 | 125

Table of Contents

GlobalTaxCenter ------------------------------------------------------------------------------------------------- 1

User Documentation -------------------------------------------------------------------------------------------- 1

Table of Contents ------------------------------------------------------------------------------------------------- 2

1. Introduction to the GlobalTaxCenter ---------------------------------------------------------------- 6

2. Function overview ----------------------------------------------------------------------------------------- 8

2.1 Modules in the GlobalTaxCenter --------------------------------------------------------------------------- 8

2.2 Calculation of deferred taxes ------------------------------------------------------------------------------- 9

2.3 Calculation of current taxes -------------------------------------------------------------------------------- 10

3. General Information -------------------------------------------------------------------------------------- 11

3.1 Login and Logout -------------------------------------------------------------------------------------------- 11

3.2 Navigation ---------------------------------------------------------------------------------------------------- 12

3.3 Basic functions ----------------------------------------------------------------------------------------------- 14

3.4 Printout ------------------------------------------------------------------------------------------------------- 15

3.5 Active and archived data sets ------------------------------------------------------------------------------- 17

3.6 Changelog ----------------------------------------------------------------------------------------------------- 18

3.7 Create FAQs -------------------------------------------------------------------------------------------------- 18

3.8 Concurrent access ------------------------------------------------------------------------------------------- 18

4. Master Data -------------------------------------------------------------------------------------------------- 20

4.1 Home ---------------------------------------------------------------------------------------------------------- 20

4.1.1 Select period and company ---------------------------------------------------------------------------- 20

4.1.2 Language ------------------------------------------------------------------------------------------------ 21

4.1.3 Sort ------------------------------------------------------------------------------------------------------- 21

4.1.4 Number format ----------------------------------------------------------------------------------------- 21

4.2 Company ------------------------------------------------------------------------------------------------------ 22

4.2.1 Create and manage company ------------------------------------------------------------------------- 22

4.2.1.1 Company data – General information ---------------------------------------------------------- 24

4.2.1.2 Company data – Employee data ---------------------------------------------------------------- 26

4.2.2 Display options ----------------------------------------------------------------------------------------- 27

4.3 Reporting Dimension --------------------------------------------------------------------------------------- 29

4.3.1 Create and manage reporting dimensions ----------------------------------------------------------- 29

4.3.2 Workflow Reporting Dimension ---------------------------------------------------------------------- 30

4.4 Chart of Accounts Group ------------------------------------------------------------------------------------ 31

4.4.1 Create and manage chart of accounts ---------------------------------------------------------------- 31

4.4.1.1 Account positions data --------------------------------------------------------------------------- 32

4.4.1.2 Account positions in other languages ---------------------------------------------------------- 35


4.4.1.3 Theoretical background: tips on managing the chart of accounts--------------------------- 35

4.5 CoA Company ------------------------------------------------------------------------------------------------ 36

4.5.1 The distinction between CoA Company and CoA Group ------------------------------------------- 36

4.5.2 Create and manage company accounts -------------------------------------------------------------- 37

4.5.3 Mapping [CoA Company] ----------------------------------------------------------------------------- 38

4.6 Countries------------------------------------------------------------------------------------------------------ 38

4.6.1 Create and manage country --------------------------------------------------------------------------- 38

4.6.1.1 General information ------------------------------------------------------------------------------ 39

4.6.1.2 Tax rates ------------------------------------------------------------------------------------------- 40

4.6.1.3 Theoretical background: tips on tax rates------------------------------------------------------ 41

4.6.1.4 FX Code -------------------------------------------------------------------------------------------- 44

4.6.1.5 Country names in other languages -------------------------------------------------------------- 45

4.7 Periods -------------------------------------------------------------------------------------------------------- 45

4.7.1 Standard period ---------------------------------------------------------------------------------------- 45

4.7.2 Create and manage periods --------------------------------------------------------------------------- 46

4.7.3 Create and manage periods --------------------------------------------------------------------------- 46

4.7.4 Sample configuration ---------------------------------------------------------------------------------- 51

4.7.5 Export and import of periods ------------------------------------------------------------------------- 53

4.8 Interface ------------------------------------------------------------------------------------------------------ 55

4.8.1 General explanations----------------------------------------------------------------------------------- 55

4.8.2 Interface Structure ------------------------------------------------------------------------------------- 55

4.8.3 Mapping [Positions] ----------------------------------------------------------------------------------- 57

4.8.4 Interfaces within the tax portal ----------------------------------------------------------------------- 58

4.9 Toolbox ------------------------------------------------------------------------------------------------------- 58

4.9.1 Toolbox configuration --------------------------------------------------------------------------------- 58

4.9.2 Copy settings -------------------------------------------------------------------------------------------- 60

4.9.3 Theoretical background: toolbox tips ---------------------------------------------------------------- 61

Dialogue configuration ---------------------------------------------------------------------------------------------- 61

4.10 User------------------------------------------------------------------------------------------------------------ 62

4.10.1 Create and manage users ------------------------------------------------------------------------------ 62

4.10.2 Assignment of roles ------------------------------------------------------------------------------------ 63

4.11 Roles----------------------------------------------------------------------------------------------------------- 64

4.11.1 Create and manage roles ------------------------------------------------------------------------------ 64

4.12 Administration ----------------------------------------------------------------------------------------------- 65

4.12.1 Reporting dimensions --------------------------------------------------------------------------------- 65

4.12.2 Broadcast message to users on Home page --------------------------------------------------------- 66

4.12.3 Revaluation surplus ------------------------------------------------------------------------------------ 67

5. Company ------------------------------------------------------------------------------------------------------ 68

5.1 Workflow ----------------------------------------------------------------------------------------------------- 68

5.2 Status ---------------------------------------------------------------------------------------------------------- 70


5.2.1 Status milestones --------------------------------------------------------------------------------------- 70

5.2.2 Decrease the status of milestones -------------------------------------------------------------------- 72

5.2.3 Copy transaction data ---------------------------------------------------------------------------------- 74

5.2.4 Print company ------------------------------------------------------------------------------------------ 75

5.3 Calculation of deferred taxes ------------------------------------------------------------------------------- 76

5.3.1 Import --------------------------------------------------------------------------------------------------- 76

5.3.1.1 Import from the previous system --------------------------------------------------------------- 76

5.3.2 B/S Comparison ---------------------------------------------------------------------------------------- 77

5.3.2.1 Basic functions ------------------------------------------------------------------------------------ 77

5.3.2.2 Structure of the ‘B/S Comparison’ dialogue --------------------------------------------------- 79

5.3.2.3 Subdialogue ‘Local GAAP – Tax Balance’ ------------------------------------------------------ 79

5.3.2.4 Subdialogue ‘IFRS – Local GAAP’ -------------------------------------------------------------- 81

5.3.2.5 Subdialogue ‘Additional Tax’ -------------------------------------------------------------------- 82

5.3.2.6 Subdialogue ‘Total IFRS – Tax’ ----------------------------------------------------------------- 83

5.3.2.7 Subdialogue ‘Other deferred taxes’ ------------------------------------------------------------- 84

5.3.2.8 Validations in the ‘B/S Comparison’ dialogue ------------------------------------------------- 85

5.3.2.9 Theoretical background: balance sheet comparison tips ------------------------------------- 86

5.3.3 LCF ------------------------------------------------------------------------------------------------------- 87

5.3.3.1 Tax losses carry forward ------------------------------------------------------------------------- 87

5.3.3.2 Subdialogue ‘Rollforward LCF’ ------------------------------------------------------------------ 90

5.3.3.3 Theoretical background: ‘LCF’ dialogue tips -------------------------------------------------- 91

5.3.4 Other disclosures --------------------------------------------------------------------------------------- 93

5.3.4.1 Input options for other deferred taxes --------------------------------------------------------- 93

5.3.5 Summary ------------------------------------------------------------------------------------------------ 94

5.3.5.1 Functionality of ‘Summary’ dialogue ----------------------------------------------------------- 94

5.3.5.2 Deferred taxes: additions and disposals ------------------------------------------------------- 98

5.3.6 Tax rate reconciliation [TRR] ------------------------------------------------------------------------- 98

5.3.6.1 Preliminary notes to TRR ------------------------------------------------------------------------ 98

5.3.6.2 Tips for validation errors ------------------------------------------------------------------------ 100

5.3.7 Reports in ‘Company’ dialogue ----------------------------------------------------------------------- 106

5.3.7.1 Report DT ------------------------------------------------------------------------------------------ 106

5.3.7.2 Report DT [LCF] ---------------------------------------------------------------------------------- 107

5.3.7.3 Report TRR ---------------------------------------------------------------------------------------- 108

5.4 Calculation current taxes [foreign countries] ------------------------------------------------------------- 109

5.4.1 Taxable income ----------------------------------------------------------------------------------------- 109

5.4.2 Utilisation/addition loss carry forward -------------------------------------------------------------- 110

5.4.3 Current taxes and other income taxes relating to other periods ---------------------------------- 111

5.5 Validation ----------------------------------------------------------------------------------------------------- 111

5.6 Comments ---------------------------------------------------------------------------------------------------- 112

5.7 Snapshots – historisation of processing states ----------------------------------------------------------- 114

5.7.1 Create snapshot ----------------------------------------------------------------------------------------- 114


5.7.2 Restore a snapshot ------------------------------------------------------------------------------------- 115

6. Reports -------------------------------------------------------------------------------------------------------- 117

6.1 Tax reports --------------------------------------------------------------------------------------------------- 117

6.2 Reports B/S Comparison ----------------------------------------------------------------------------------- 121

6.3 Reports Questionnaire [Own Reports] -------------------------------------------------------------------- 122

6.4 Differences ---------------------------------------------------------------------------------------------------- 123

6.5 Tax expense--------------------------------------------------------------------------------------------------- 125

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AMANA consulting Introduction to the GlobalTaxCenter – Modules in the GlobalTaxCenter Seite 6 | 125

1. Introduction to the

GlobalTaxCenter

This user guide describes the functions and processes in the GlobalTaxCenter [GTC]. GTC is the most extensive

part of the AMANA tax portal, which also includes a tax accounting module / E-Bilanz [SmartTaxBalance;

STB] and a VAT module [VAT@GTC]. These modules are connected to the GTC via direct interfaces. Their

functionality is documented separately and not included in this manual.

The GTC is a standardized web application that is primarily used for calculation of deferred and current taxes.

In order to work with the GTC the user simply needs a web browser [e.g. Microsoft Internet Explorer].

The structure of this manual is based on the menu navigation in the GTC that usually consists of the following

main dialogues:

Master Data [chapter 5]

Company [chapter 6]

[Sub-]Group [chapter 7]

Reports [chapter 8]

Here is a short summary of the invividual chapters of this manual:

Chapter 3 offers a general function overview of individual GTC modules and their objectives based on tax ac-

counting requirements.

Chapter 4 explains cross-programme functions that can be found in numerous GTC dialogues [e.g. generate

Excel view]. You will also find general information on the programme use here.

Chapter 5 describes how to create and manage your master data. Some technical instructions on how to con-

figure individual parameters are listed in this chapter.

Chapter 6 contains the description of process steps for an individual company in the GTC. This chapter focuses

on calculation of deferred and current taxes and electronic submission of tax returns.

Chapter 7 explains the main dialogue [Sub-] Group that contains a group overview and organisation functions.

For example, it includes the summary of deferred taxes and tax rate reconciliations that can be used for ex-

planatory notes to consolidated financial statement.

Chapter 8 describes evaluation options in the main dialogue Reports. Various configuration options are ex-

plained in this chapter.

Chapter 9 contains the FAQs.

The functions described in this manual are based on the standard GTC configuration. Some functions and

dialogues have been developed by AMANA according to customers’ specifications. Therefore, some screen-

shots and descriptions in this manual can differ from your GTC version.

AMANA consulting Introduction to the GlobalTaxCenter – Modules in the GlobalTaxCenter Seite 7 | 125

Technical requirements that result from the complexity of accounting standards and tax laws are not included

into this manual. If you have any technical questions, either company-specific or initiated by the legislator, our

expert contact persons in AMANA will be pleased to help you.

We would be very grateful for your hints and suggestions for the further improvement of this manual. Please

send your ideas to [email protected] with the subject ‘GTC Manual’.

mailto:[email protected]

AMANA consulting Function overview – Modules in the GlobalTaxCenter Seite 8 | 125

2. Function overview

2.1 Modules in the GlobalTaxCenter As an IT tool the GTC supports companies in complying with Tax Accounting requirements. Although the

relevant specialist literature does not provide a uniform and clear definition of this complex concept, the fol-

lowing areas represented in the table below can be assigned to the concept Tax Accounting:

Tax Accounting Area Explanation

Tax Reporting

Calculation of deferred and current taxes for financial statement pur-

poses [annual balance sheet, consolidated financial statement, interim

financial reporting];

Preparation of tax disclosures in accordance with German Commercial

Code [HGB] and IFRS

Internal reporting of tax positions [e.g. to the Management Board, Su-

pervisory Board, Controlling]

Tax Compliance

Tax declaration [electronic tax return; E-Bilanz];

Compliance with legal requirements for tax payments and record re-

quirement

Tax Planning

Tax planning as a part of corporate planning;

Database for assessing the recoverability of deferred taxes

IAS 34, quarter tax rate

Tax Risk Management

Calculation, planning and management of tax risks

Table 1: Tax Accounting Areas

In addition to the core functionality that enables users to calculate deferred and current taxes, there is a variety

of additional modules and functions in the GTC. These modules are integral components of the GTC and offer

further range of applications to comply with the Tax Accounting requirements. The following table offers an

overview:

AMANA consulting Function overview – Calculation of deferred taxes Seite 9 | 125

GTC Module / Function Explanation

GTC Basic Module Calculation of deferred and current taxes for the annual balance sheet

[German Commercial Code [HGB] and IFRS]. Providing the database for tax disclosures.

Tax Planning*

[module]

Create planning periods in the GTC [IAS 34]

Tax Compliance*

[module]

Control the compliance with declaration deadlines and payment terms by domestic and foreign companies.

Tax Questionnaire*

[module]

The module supports the management of tax information. Structured [company-specific] questionnaires are designed to acquire various tax in-formation [e.g. tax audit, country-by-country reporting etc.]. Reports pro-vide automated evaluation and analysis.

Tax Risk Management*

[module]

Using risk-oriented active questionnaires you can calculate and monitor risks. ActionPlans help you to manage the risks and monitor the handling.

Tax Audit*

[module]

Acquisition of tax audit findings and tax audit risks for status tracking. Using this module corresponding impacts on groups for different tax as-sessment periods can be considered.

Tax Declaration [ELSTER]

[module]

Send the electronic tax return from the GTC [incl. Snapshots module].

Snapshots

[function]

Different temporal processing states can be ‘frozen’ which makes a subse-quent recovery possible [e.g. useful for simulated computations].

Flexible Validation

[function]

Import of indicators to the GTC that can be then validated using calcu-lated values [useful to validate for e.g. general ledger and subledger]. In addition, there are also other validation possibilities [partly automated].

Import and Export of Periods

[function]

Reporting date-related inquiries can be exported completely or selectively to another GTC system. The data sets copy is possible without IT support. This facilitates for e.g. mapping of sales.

Table 2: Modules in the GlobalTaxCenter

The modules marked with an * in the GTC are documented separately and are not included into this manual.

The relevant documents may be requested from AMANA.

2.2 Calculation of deferred taxes Calculation of deferred taxes can be carried out in accordance with Commercial Code [HGB], IFRS and US

GAAP. Since these accounting standards are based on a [balance sheet] temporary concept, deferred taxes can

be calculated considering the following standards:

Commercial Code [HGB] IFRS US GAAP

§ 274 German Commercial Code [HGB]: individual finan-cial statement

IAS 12: consolidated financial state-ment

Topic 740

§ 306 German Commercial Code [HGB]: consolidated fi-nancial statement

IAS 34: interim financial statement

Table 3: Accounting standards supported by the GTC

AMANA consulting Function overview – Calculation of current taxes Seite 10 | 125

Individual accounting standards have very important differences, for example option to capitalise for the over-

hang of deferred taxes in the Commercial Code [HGB] individual financial statement [not consolidated finan-

cial statement]. A relevant differentiation is ensured by individual master data parameters and distinction be-

tween German Commercial Code [HGB] and IFRS reporting periods in the GTC.

Calculation of deferred taxes for accounting temporal differences is based on the comparison of balance sheets.

Deferred taxes are calculated in the GTC for loss carry forward, interest deductions, tax credits and other tax

advantages. The data calculated on this basis appears in the summary that can be used as a book entry. The

GTC milestone concept ensures that the predefined process steps and reviews are observed.

In addition to calculation of deferred taxes, further aspects are considered by the GTC. These are, for example,

distinctions in the affecting P/L statement [profit and loss statement] and not affecting P/L statement [OCI]

processes, tax rate changes, exchange rates or corporate restructuring.

The key output of the GTC is data that is essential for creating disclosures. Thus, for example, reports contain

either deferred taxes per balance position or deferred taxes attributable to the tax loss carry forward. The GTC

can also generate TRR [Tax Rate Reconciliation].

2.3 Calculation of current taxes The GTC enables users to calculate current taxes. The typical system for tax calculation of balance-sheet and

off-balance-sheet corrections is also implemented in the GTC. Automated result attribution or transfer of tax

bases in the context of group taxation / tax group is ensured. In addition, proposed values calculated in the

GTC [e.g. tax-balance additional profit / reduction in profit] simplify handling and serve validation.

The functions of tax calculation differ for German companies and companies in other countries:

German companies

The dialogue structure designed in accordance with the national tax law is available to German companies.

The dialogues in the tool are based on tax forms [KSt 1 A, Anlage AE etc.]. Extensive detail requirements re-

sulting from German tax law are also taken into account. These include issues relating to income tax group

and partnerships.

Tax calculation can be carried out in a shortened dialogue [Current Taxes dialogue] or by means of the above-

mentioned form dialogue. The shortened dialogue can be used for annual balance sheet, it speeds up the clos-

ing process. The use of the form dialogue is necessary if the tax return is submitted from the GTC to the tax

office via ERiC [optional ELSTER module].

Companies in other countries

The focus of tax calculation for foreign companies is on the provision of necessary data for reporting purposes

and TRR.

To meet the requirements of relevant tax jurisdiction, it is possible to provide each country from a pool with

individual tax calculation [so-called Toolbox]. This pool can be supplemented by individual issues and naming.

This facilitates preparation of foreign tax calculations and ensures top data quality for TRR generation.

AMANA consulting General Information – Login and Logout Seite 11 | 125

3. General Information

3.1 Login and Logout The GTC has a user authentication module [Login with username and password]. This prevents unauthorised

access by third parties. When integrating the application into a company portal, SSO can be used [Single Sign

On]. In this case the login dialogue is not shown at all.

Login

When you open the GTC in a web browser [e.g. Microsoft Internet Explorer], the login dialogue appears. Enter

your login and password and then click the Login button or press Enter. Your personal login data can be man-

aged in the master data dialogue User.

Fig. 1: Login to the GTC

After the first login to the GTC the user is asked to change the initial password [the same applies after password

reset]:

Fig. 2: Change password

AMANA consulting General Information – Navigation Seite 12 | 125

User account is blocked after entering a wrong password tree times or if the last login was more than 120 days

ago [this parameter can be changed in accordance with individual company’s requirements].

Fig. 3: User account expired

If a user account has expired, the administrator has to assign a new initial password to the user concerned.

This can be done only by a GTC user with the corresponding rights for the ‘User’ dialogue.

Logout

Both manual and automated logouts from the GTC are possible. For the manual logout there is a Logout button

in the upper right corner of the GTC [ ]. Please always log out from the system using this button,

when finished working in the web tool, instead of just closing the web browser. In this way, the resources will

be saved and other users will have the possibility to work with previously locked companies.

If you are not working in the system for a long time [60 minutes], you will be logged out automatically. For this

reason, regularly save the data you work with, in order to avoid the loss of important information and applied

changes.

3.2 Navigation The standard GTC version consists of the following four main dialogues:

Master Data

Maintenance of master data [e.g. countries, tax rates, companies, balance sheet structure and user]

Company

Operative core area [calculation of current and deferred taxes]

[Sub-]Group

Group overview and management functions [e.g. for consolidated financial statement]

Reports

Evaluation area containing various reports [reports can

also be created by a GTC user individually]

Table 4: Overview of the GTC main dialogues

AMANA consulting General Information – Navigation Seite 13 | 125

The individual GTC main dialogues are divided into further subdialogues [see the figure below with an example

of the Report main dialogue]. The content and use of individual dialogues are explained in this manual. Addi-

tional main dialogues are shown if additional GTC modules [e.g. Tax Questionnaire module] are used.

Fig. 4: GTC main dialogue ‘Reports’

AMANA consulting General Information – Basic functions Seite 14 | 125

3.3 Basic functions A lot of symbols and buttons with clearly defined functions are used in the GTC. The buttons are often de-

scribed directly [e.g. ] or the explanation appears on mouseover.

Magnifying glass

Show data set

Blank sheet

Create a new data set

Pencil

Edit data set

Diskette Save data set

Recycle bin

Delete [archive] data set

Recycling symbol

Restore archived data set

Orange starlet

Indicates mandatory fields

Blue starlet

Indicates mandatory fields in a tax

return

Yellow memo Open comment / edit

Yellow warning triangle with a

black exclamation mark

Warning [e.g. there is something

wrong in the balance sheet calcula-

tions]

Three dashes

---

In choice boxes stands for ‘standard

values’ or ‘no choice’ / ‘no assign-

ment’. In period selection three

dashes stand for a standard period.

Hand

Indicates a proposed value calcu-

lated in the GTC

Small plus symbol Add a new data set

Crossed circle Indicates an error message

Big plus symbol

Show menu

Cross symbol

Hide menu

Lock

Fix table columns

Info button

Click on the button shows infor-

mation/explanation

Release notes Opens the Release notes

User documentation Opens the User documentation

Detailed information Shows the detailed information

Table 5: Basic functions – symbols and buttons

AMANA consulting General Information – Printout Seite 15 | 125

Filter data in dialogues

Data sets in individual GTC dialogues are often represented in the form of a table [e.g. list of companies in the

‘Company’ master data dialogue]. The view can be sorted by certain attributes of data sets. To sort the data

click on the corresponding attribute:

Fig. 5: Sort data sets in a table

Highlight imported transaction data

Tax transaction data from other periods [e.g. previous period] or from file uploads can be transferred directly

to the GTC in the ‘Company’ main dialogue. Transaction data copied from other periods is highlighted in blue

in the target period:

Fig. 6: Transaction data input fields highlighted in blue

Values from file uploads are highlighted in green [ ].

3.4 Printout

Individual GTC dialogues allow to print out the required data using the ‘Print View’ button [ ].

After clicking the button the currently opened page will be displayed in a print-optimised read mode in a new

tab. You can use standard print functions of your browser to print the page. The programme creates a print

AMANA consulting General Information – Printout Seite 16 | 125

view of the data currently saved in the database. The adjustments made in the meantime without saving the

data will not be shown in the print view.

You can also use Excel view to print out the required data [ ]. This option is embedded in all

GTC dialogues. The selected data set is displayed in Excel and can be edited there [min Excel version 2000 is

required].

Users have the possibility to print out the whole data set of the selected company in the ‘Company’ tab. To do

so select the option [ ] in the ‘Status’ dialogue. You can check the dialogues to be printed

in the pop-up window:

Fig. 7: ‘Print Company’ option

AMANA consulting General Information – Active and archived data sets Seite 17 | 125

3.5 Active and archived data sets Data sets created in the ‘Master Data’ tab cannot be deleted completely [e.g. countries or companies]. They can

only be archived [visually deleted]. You can switch between active and archived data views using the dropdown

in the upper right part of every master data dialogue.

Fig. 8: Switch between active and archived data views

Active data is displayed by default. Archived data sets [e.g. deleted companies] can be restored by clicking the

[ ] button in the archived data view.

Data sets in ‘Master Data’ require so-called IDs that uniquely identify them. The GTC assigns some IDs auto-

matically [e.g. when creating periods]; while some IDs have to be assigned by the user [e.g. DE for Germany,

IDs can be selected freely]. Since data sets cannot be deleted for good, please mind that archived IDs cannot

be reused. In this case the GTC will show an error message and indicate that the entered ID already exists:

Fig. 9: Error message when the ID already exists in master data

AMANA consulting General Information – Changelog Seite 18 | 125

3.6 Changelog

A Changelog function [ ] is available in the GTC Master Data area. All changes in Master

Data are registered in the database. Changelog provides users with an overview of changes saved in the data-

base [who made what changes and when]. Changelog is available only if a GTC user has the corresponding

permissions. The evaluation is displayed in an Excel file.

3.7 Create FAQs The GTC offers the possibility to create a company-specific FAQ list. The FAQ function can be selected in the

upper right corner of the programme [ ]. When clicking on the button, a new tab is opened in your

web browser. The FAQ list is available to all GTC users.

In the FAQ tab you can categorise questions, answers and language versions [e.g. Company]. It is also possible

to attach files:

Fig. 10: FAQ dialogue in the GTC

3.8 Concurrent access In case when several users try to work with the same data simultaneously [the same company and period], the

GTC has created write protect features to avoid inconsistencies or mutual overwriting of data.

A person trying to open the same data set [dialogue] that has already been opened by another user/s sees a

warning. This warning contains the information about the user who is currently working on the same com-

pany’s data. If this user has entered his/her contact data in the GTC Master Data, this contact data will be

displayed as well.

Fig. 11: Concurrent access

AMANA consulting General Information – Concurrent access Seite 19 | 125

Despite the warning, the dialogues can still be viewed in the read-only mode [no edit rights]. If you click the

Continue Anyway button, the data can be edited. In this case when the person who was first to edit the data

tries to save the changes, s/he sees a warning with the Save Anyway button. As soon as one of the users actually

saves the data, this option is not available for other users anymore. In this case all other users have to reload

the dialogue, after that they can make their adjustments to the changed data set. User management and per-

missions should be configured accordingly to avoid concurrent access.

AMANA consulting Master Data – Home Seite 20 | 125

4. Master Data

4.1 Home The start view in the Master Data main dialogue is the dialogue Home. The parameters selected here are de-

scribed in the following chapters.

Fig. 12: Dialogue ‘Home’

In the right part of the Home dialogue you will find Application and Database version. This information is

important for AMANA enquiries [GTC version you use].

4.1.1 Select period and company In the GTC the majority of master data is period-based. One period corresponds to one set of master and trans-

action data for all related companies. This can be an annual balance sheet, interim financial reporting or a tax

return on a specific date. This ensures that the changes in group structures are displayed over a period of time.

Periods and companies created in the GTC can be selected by users for editing independently from one another.

Basically, period and company can be selected in the dialogue header of all main dialogues. In the period-

dependent master data dialogues you can select the periods that have to be edited or viewed. Data sets belong-

ing to the selected period will be listed below.

Dialogues in the ‘Master Data’ tab Period-dependent Company-dependent

Company yes no

Reporting Dimension yes no

CoA Group yes no

CoA Company yes yes

Countries yes no

Periods no no

Interface yes no

User no no

Roles no no

Administration no no

Table 6: Dependency of dialogues in the ‘Master Data’ area

AMANA consulting Master Data – Home Seite 21 | 125

4.1.2 Language The following languages are currently available:

Fig. 13: Select language

The selected language version is saved individually for every user, so that you do not have to select the language

every time you open the GTC.

Data sets [e.g. balance sheet items or list of countries] have to be created in several languages.

4.1.3 Sort You can sort the data presented in the table [Companies, Countries], using the sort option. The following op-

tions are available: sort by ID [company and country IDs created in the GTC Master Data] and sort by name

[alphabetically]. Alternatively, the sorting can be performed using Search in every dialogue.

Fig. 14: Sort table

4.1.4 Number format Number format can be selected in the corresponding dropdown list [Number Format]. Number format speci-

fies how the numbers are presented in the GTC. This function is necessary since many countries use different

number formats. For example, in Germany decimal numbers are separated with a comma and a dot is used as

thousand delimiter[e.g. 1.000.000,00]; while in the English-speaking countries decimal numbers are often

separated with a dot and comma is used as thousand delimiter[e.g. 1,000,000.00].

AMANA consulting Master Data – Company Seite 22 | 125

The user can freely select one of four international number formats. This ensures that the GTC reports can be

used without Excel reformatting.

Fig. 15: Number format

4.2 Company

4.2.1 Create and manage company In the master data dialogue Company you can view all companies created in the currently selected period. The

main attributes of a company such as e.g. country, legal owner or legal form are represented in tabular form:

Fig. 16: View dialogue ‘Company’

In the first column of the table there is a pencil symbol [ ] – you can edit company information after clicking

on this symbol. When clicking on the magnifying glass symbol [ ], you can view the selected data set but

not change it. A click on recycle bin [ ] archives the selected company. After that the company will not be

shown as active any more, you can find it under ‘archived’. Click on ‘Create’ button [ ] in the se-

lected period to add a new company.

Bulk edit

Using this function [ ] you can change certain data for several companies simultaneously [e.g.

local tax rate or settings for tax allocation calculation]. The companies to be changed can be selected using the

dropdown list that contains checkboxes in the Bulk Edit dialogue. This dropdown contains all companies in

the currently selected period. The important advantage of this function is that the required attribute can be


edit for several companies simultaneously, which saves a lot of time. Activate the attributes to be changed in

the Modify? column and enter new value in the Values column.

Fig. 17: Bulk edit of the company data

Using the GTC for the first time

When creating a group structure for the first time in the GTC, first of all create a parent unit. This should be

done because a lot of companies are subsidiaries and have a parent company [optionally]. In addition, it is

recommended to create countries and the corresponding tax rates before creating companies. Every company

has to be assigned to a certain country.


Company data – General information Required fields are marked with a yellow starlet [ ]. Fields required for an electronic tax return are marked

with a blue starlet [ ]. The same applies to master data that is needed for E-Bilanz. This data can be trans-

ferred to tax balance module SmartTaxBalance via an interface [web service].

Fig. 18: Master data when creating a new company

Required data has to be entered in the Company Data tab. Other tabs are relevant for electronic tax return

and E-Bilanz.

ID [ ]

ID is a unique identifier for a company. It can consist of up to 20 symbols [letters and figures]. ID can be

assigned only once and is not an object for a subsequent change [valid across periods]. The company ID should

match other relevant accounting systems [e.g. SAP] in order to ensure the functionality of possible interfaces.

Name [ ]

The company name should include its legal form. This is requirement is necessary if a company sends its tax

return via the GTC.


Shortname

This information is optional. The shortname should also match other relevant accounting systems. Shortname

[e.g. SAP company code] is relevant for reports.

Country [ ]

In this field enter the name of a country where the company / company management is domiciled. You can

select any country from the available dropdown list [all countries created in the Countries dialogue]. The cor-

responding tax rates and exchange rates of the selected country will be used to calculate current and deferred

taxes for the company and convert reports into reporting currency.

Companies that are not assigned to Germany can configure their data in the so-called Toolbox [country-specific

tax calculation] after entering the country name. Tax calculation rules are defined in the master data dialogue

Toolbox.

Tax number

Tax number is required for German companies that send their tax returns electronically via the GTC.

Fig. 19: Tax return - tax number

Local tax office

The indication of a local tax office is necessary for the German companies if they send their tax returns elec-

tronically via the GTC. The local tax office is determined automatically from the tax number [first four sym-

bols].

Fig. 20: Local tax office number


Business activity / Business area [ ]

This information is optional; it is used as extension of possible filter options in Reports or Excel views. For

example, you can sort the view in the Company master data dialogue by business areas. Do not confuse this

attribute with Reporting Dimensions.

Local tax rate

When filling up this data field mind to differentiate between the companies that belong to Germany and other

countries. If the selected company is a German company, enter the local tax rate that together with the tax base

[indicated in the master data dialogue Countries] lead to effective trade tax rate. For local companies enter the

local income tax rate.

The local tax rate for German companies corresponds to local tax rate in % [e.g. 250%, 400%]. Alternatively,

you can enter the deviating local tax rate in the main dialogue Company [master data tab]. Usually the tax rate

is taken from the master data and used for calculation of trade tax.

For foreign companies this value is used as a proposed value for the local foreign income tax [local tax]. In

order to consider regional differences in local tax rates you can specify the deviating tax rate in the Trade Tax

column [local tax] of the Current Taxes dialogue.

To enable calculation of local income tax for foreign companies, activate the Local tax column in Toolbox

checkbox for every company in the master data dialogue Company [see the corresponding chapter Company].

This value is used only for calculation of current taxes and is not relevant for calculation of deferred taxes.

Non-calendaric fiscal year / Additional non-calendric fiscal year / Short fiscal year

This information is necessary for the electronic tax return.

Company data – Employee data Responsible person for tax / unit

Employee data entry is optional and serves only information function. Company-specific permissions have

nothing to do with this information.

It is reasonable to enter this information if the financial statement data [accounting] and tax data [tax depart-

ment] are often handled by different people. In addition, this information can be useful for foreign companies

when working in the GTC.

You can select the required username from the available dropdown list that contains all GTC users. The GTC

users are administered in the User dialogue in the Master Data tab.

Fig. 1: Employee data


4.2.2 Display options In the Master Data dialogue Company the users may select one of the three display options:

Figure 1: Display options in the “Company” dialogue

List

The companies are usually displayed in the tabular form when opening the dialogue:

Figure 2: Display option “List”


Group structure

This display option visualizes the master data based on the data in the Tax payer of group column. Companies

defined as “[sub-] group” are highlighted in colour. Brackets indicate those companies that are connected to

the superior entity, but consolidated with another superior entity.

Figure 3: Display option “Group structure”

Tax group structure

This display option visualizes the master data based on the data in the Current Tax Charge - group data. A

colour distinction is made between tax payer of group, intermediate parent of tax group and member of tax

group. Companies that are not part of any group are grey-coloured. The green check mark indicates that the

option “Deferred taxes” is activated for this company.

Figure 4: Display option “Tax group structure”

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4.3 Reporting Dimension

4.3.1 Create and manage reporting dimensions To make group reporting more comfortable you can create reporting dimensions in the master data dialogue

Reporting Dimensions. This allows to separate a group company from other companies according to specific

characteristics. In the Reports tab there is a filter for every dimension that allows to sort the data.

Individual dimension characteristics can be grouped under certain reporting dimensions.

Example

Region [Reporting Dimension]

Europe [dimension characteristic]

Asia

North America

South America

Business Unit [Reporting Dimension]

Automotive [dimension characteristic]

Industry

When creating a new dimension characteristic please define the following attributes:

Fig. 21: Create a new dimension

ID [ ]

ID is used to uniquely identify a certain dimension. An ID can contain both numbers and letters; it is not a

subject for subsequent change.

Name [ ]

Every dimension needs to have a name. A subsequent name change is possible.

Type [ ]

Here every dimension characteristic has to be assigned to one of the reporting dimensions. Reporting dimen-

sions are managed in the Administration dialogue in the Master Data tab [described later in this manual].

Fig. 22: Manage Reporting Dimensions in the ‘Administration’ dialogue

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4.3.2 Workflow Reporting Dimension First of all create reporting dimensions in the Administration dialogue.

Fig. 23: Reporting Dimension administration in the ‘Administration’ dialogue

After that create dimension characteristics in the Reporting Dimension dialogue.

Fig. 24: Dimension characteristic administration in the ‘Reporting Dimension’ dialogue

After that reporting dimensions can be assigned to individual business units in the Company dialogue.

Fig. 25: Assignment of reporting dimensions in the ‘Company’ dialogue

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4.4 Chart of Accounts Group

4.4.1 Create and manage chart of accounts This overview dialogue shows chart of accounts of a group in the selected period. The attributes of an account

position [e.g. maturity] are displayed in a table:

Fig. 26: Overview dialogue CoA Group

Chart of accounts structure created in the CoA Group dialogue represents a common for all companies binding

framework and is basis for the dialogue B/S Comparison in the Company tab. The only exception here is the

CoA Company dialogue – chart of accounts in this dialogue can be extended company-specifically.

Fig. 27: Dropdowns and toolbar CoA Group

Creation of a chart of accounts is essential for calculation of deferred taxes under IFRS, German Commercial

Code [HGB] and US-GAAP [so-called temporary concept]. Adjustments to chart of accounts in the CoA Group

dialogue affect only the currently selected period. Other GTC periods are not affected [also see Theoretical

background to this chapter].

You can create a new account position in the selected period by clicking the Create button [ ]. The

attributes defined in a chart of accounts are described below.

An existing data record can be edited by clicking on the pencil symbol. The magnifying glass symbol opens the

selected data set in a read mode. Delete [archive] data sets using the recycle bin symbol.


Account positions data The following attributes have to be created for every new account position that is an entry position. Entry

positions are subordinate to superior account positions [e.g. technical equipment and machines belong to entry

position which is subordinate to the superior account position Property plant and equipment].

Fig. 28: Detail view Group Accounts

Account ID [ ]

Every account must have an individual ID. Once created, the ID cannot be edited anymore and even after

deletion cannot be used again.

This field cannot be used to enter the name of an account position. This happens after clicking the Create

button in the newly appeared table area [see chapter Account positions in other languages].

Reporting Dimension

The standard reporting dimension [---] is preselected during the consolidated balance sheet administration;

this dimension cannot be edited. This attribute can only be changed company-specific in the CoA Company

dialogue.


Superior account position

By specifying the superior account position, the structure of the balance sheet is determined. Superior account

position is the sum of all subordinate positions. In the overview dialogue and the B/S Comparison dialogue

the structure is represented with the help of dot leaders displayed below the corresponding superior positions:

Fig. 29: Superior account position in the chart of accounts structure

Relevant for current taxes

This attribute defines whether an account position has influence on tax profit/loss. For German companies

these are internal tax deviations [acc. sect. 60 par. 2 of Income Tax Ordinance]. Only differences between the

German Commercial Code [HGB] / or local GAAP and tax balance sheet will be considered further.

The change of tax balance corrections affecting the profit and loss statement is calculated automatically by the

GTC and used for calculation of current taxes: it is displayed in the Current Taxes dialogue as a proposed value:

Fig. 30: Account relevant for current taxes as proposed value in the ‘Current Taxes’ dialogue [here: Toolbox]

Account is relevant for deferred tax

Certain account positions such as e.g. equity or tax positions are excluded from the calculation of deferred

taxes. When working with these positions the checkbox Account is relevant for deferred tax should not be

checked. In this case the GTC ignores any balance sheet differences in these positions. Positions that are rele-

vant for the calculation of deferred taxes [or TRR] are classified as temporary or permanent. So you need to

activate the Account is relevant for deferred tax checkbox. When this checkbox is selected, the rows of the

chart of accounts can be edited by entering allocation of balance-sheet gross differences.

Thereof columns offer standard allocation options for the purposes of balance sheet differences split. Defini-

tion of the following attributes results in automated split option in the B/S Comparison dialogue.

Temporary differences P/L

Temporary differences OCI

Permanent differences P/L

Permanent differences OCI


Permanent balance sheet differences [e.g. in German tax law shares in affiliated companies section 8b of KStG

[Corporation Tax Code]] do not result in deferred taxes. Activate the Account is relevant for deferred tax

checkbox, since effects for tax rate reconciliation [TRR] can result from them.

Relevant for True Up

Results in temporary difference

In case of balance sheet differences the calculation of deferred taxes is started for the account positions marked

as temporary. Activate this checkbox also for all account positions, where taxable [passive deferred taxes -

DTL] or deductible [active deferred taxes - DTA] differences can arise. In addition, it is necessary to select the

Account is relevant for deferred tax checkbox.

On the contrary, account positions that are not classified as temporary are regarded as permanent. Permanent

differences do not lead to the calculation of deferred taxes but can be relevant for tax rate reconciliation [TRR].

Income statement-related

Account positions marked as P/L statement-related have a profit and loss statement effect during the calcula-

tion of deferred taxes. The profit and loss statement effect of deferred taxes is reflected in Summary and TRR

dialogues.

You have to select between P/L statement-related and temporary difference affecting equity. Profit-related

effect of deferred taxes booking depends on underlying balance-sheet situation. If the changes in account po-

sition [e.g. depreciations] are booked in the P/L statement, the applying deferred taxes have to be considered

as income statement-related.

Temporary difference affecting equity

Account positions marked as temporary difference affecting equity do not have a profit and loss statement

effect during the calculation of deferred taxes. They are reflected in the P/L statement-neutral OCI [other com-

prehensive income]. Temporary difference affecting equity bookings can be seen in IFRS, e.g. under financial

instruments [IAS 39] or pensions [IAS 19]. Deferred taxes related to this value change should be booked as not

income statement-related. The OCI effect deferred taxes is reflected in the dialogue Summary.

Temporary difference affecting equity bookings can be assigned to a certain OCI issue [e.g. AFS securities].

Individual issues can be managed in the master data dialogue Administration in the Revaluation surplus area.

Goodwill

This attribute is relevant only for the period type Closing v1.

Short-term temporary difference

This attribute defines maturity of an account position. The GTC enables division of deferred taxes into short

and long-term positions. When the Short term temporary difference checkbox is activated, deferred taxes re-

lated to this account position are also classified as short-term.

Maturity structure effects the netting of deferred taxes in the tool: short-term DTA are netted with short-term

DTL and long-term DTA with long-term DTL. The classification of account positions as short- or long-term is

not necessarily made.


Disclosed major class of deferred tax

Activate this checkbox for account positions that have to be analysed for disclosure purposes. These account

positions are aggregated in the Report DT dialogue. Either upper or lower level can be displayed for every

position in the notes. This prevents double-counting of account positions.

The generated [shortened] chart of accounts structure has to match the chart of accounts structure of the an-

nual report. This ensures that the disclosures of the deferred taxes per account position can be taken directly

from the GTC.

Tax non-recognition

Balance sheet differences calculated in the GTC dialogue B/S Comparison have to be assigned to the

above-mentioned columns [Temporary differences P/L, Temporary differences OCI, Permanent dif-

ferences P/L, Permanent differences OCI]. If the Split differences checkbox is activated, the differ-

ences are grouped automatically. Otherwise, gross differences have to be grouped manually. This, for

example, makes sense if a part of gross difference is classified as temporary and another as perma-

nent.

Automatic distribution of differences can be carried out in the B/S Comparison dialogue by clicking the [

] button.

Account positions in other languages Language settings can be made in the GTC dialogue Home. To view the data set in a local language, create it

first. If no text is defined for a language, the data set can be identified only by account ID after selecting the

language.

Fig. 31: Account positions in other languages

The Language table area [see the figure above] appears only after clicking the Create button when creating a

new account position.

Theoretical background: tips on managing the chart of accounts Chart of accounts created in the GTC is usually an extract from the chart of accounts of a group or a company.

Number of account positions

It is recommended to limit the number of account positions to no more than 100. It must be ensured that the

account position-related disclosures acc. to IFRS and German Commercial Code [HGB] requirements can be

fulfilled. In addition, the aggregation level has to be sufficient to assign tax balance sheet values.

Furthermore, a very detailed chart of accounts can increase processing time. A balance sheet value must be

specified for every account position containing IFRS or German Commercial Code [HGB] value in the B/S

Comparison dialogue.

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Creating chart of accounts

Position balance [e.g. ID 00000] should be the superior position of the chart of accounts. To identify the po-

sition as superior, select the entry [---] as superior position for the selected item. It means that the sum of all

subordinate positions [e.g. 10000 assets and 20000 credits] amounts to zero [if not an error message appears

in the B/S Comparison dialogue]. The GTC does not differentiate between assets and credits positions, that is

why add a minus sign before a position to indicate that it is credit [SAP logic].

4.5 CoA Company

4.5.1 The distinction between CoA Company and CoA Group The balance sheet structure maintained in the Chart of Accounts Group dialogue is used by all GTC companies

for balance sheet comparison. The CoA Company dialogue allows to expand this balance sheet structure ac-

cording to the individual company’s needs.

First, select the period and company you want to work with:

Figure 5: Select the period and company in the “CoA Company” dialogue

The Chart of Accounts Company dialogue displays the balance sheet structure created in the Chart of Accounts

Group dialogue. Once created, accounts cannot be deleted or edited. However, it is possible to categorise the

new items. The new company-specific balance account positions can have a superior account position.

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4.5.2 Create and manage company accounts The following attributes have to be defined for each account. Accounts have superior account positions [e.g.

the superior account position for the plant and machinery is property, plant, equipment].

Figure 6: Company account data in the “CoA Company” dialogue

Account ID [ ]

Every account must have an ID. Once created account ID cannot be edited or deleted and is not available even

after the position has been deleted.

This field does not contain the account name. It can be added after clicking on the Create button in a new table

area [it will be displayed in the same dialogue on the right].

Superior account position

Only the position from the lowest level of the balance sheet structure can be selected as a superior account

position from the CoA Group dialogue. Adjustments are therefore limited to one level. The dropdown contains

only positions that meet this criterion.

For other attributes see the CoA Group chapter.

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4.5.3 Mapping [CoA Company] If account positions created in the previous period have been deleted in the current period, the Mapping sub-

dialogue in the CoA Company dialogue can be used to ensure that the correct changes in deferred taxes per

balance sheet item are determined for report purposes. For this purpose, non-existent balance sheet items

from the previous period are assigned to a current balance sheet item.

The function can be selected using the [ ] button and is described in the Mapping [CoA Group]

section. In the CoA Group dialogue, company-specific accounts from the previous period which have been

deleted in the current period, can be assigned to a current balance sheet item.

4.6 Countries

4.6.1 Create and manage country This overview dialogue shows all countries created in the selected period. The main country attributes, such as

tax rates and FX rate are displayed in a table:

Fig. 32: Dialogue Countries


By clicking the Create button [ ], you can add a new land in the selected period. Country attributes

to be defined are described later in the manual.

It is necessary to create countries, in order to create companies. Every company is assigned to a certain country

and uses its tax rates to calculate current and deferred taxes.

General information The following attributes have to be defined when adding a new country:

Fig. 33: Attributes of a country

Country ID [ ]

ID is used for a unique identification of a country. Up to three characters can be used; an ID can be assigned

only once; a subsequent change is not possible.

It is recommended to use the abbreviations in accordance with ISO 3166-1-ALPHA-2 for country IDs [two-

letter country codes, e.g. DE, GB, FR]. Regions or specific demands on tax rates can be created using for e.g.

US1, US2, US3, […].


Tax template

Tax template defines the structure of the dialogue used for calculation of current taxes in Company. If tax

calculation for a certain country is defined in the master data dialogue Toolbox, leave the default tax template

[---], which is preselected. After that you can work with the Current Taxes dialogue:

Fig. 34: How the ‘Company’ dialogue looks like when the tax template [---] is selected

If you select tax template Germany, tax detail dialogues appear; they can be used for calculation of current

taxes. Further details will be described later in this manual.

Fig. 35: How the ‘Company’ dialogue looks like when the tax template [Germany] is selected

Tax rates Corporate tax rate [ ]

This tax rate is used for calculation of German corporate tax or corporate income tax. This information is rel-

evant for all countries in the GTC.

This value is used only for calculation of current taxes. It does not apply to the calculation of deferred taxes.

Local tax rate [ ]

It is important to distinguish here between Germany and other countries. For other countries: it is also possible

to enter a zero value if no local income tax has to be payed or if it is not relevant for the GTC.

Germany

Enter basic federal rate of 3.5% [section 11[2] of Trade Tax Act [GewStG]] into this field. The basic federal rate

is multiplied by calculated in the GTC trade income. The resulting base value is multiplied by local tax rate of

a company in order to determine the final trade tax. Local tax rate is administered individually for every com-

pany [in the master data dialogue Company].

Other countries

For other countries this value is used for local foreign income tax [local tax]. You can enter a tax rate into the

column Trade Tax [local tax] in the Current Taxes dialogue in order to consider regional differences. If a local

tax rate is entered in the master data dialogue Company, this value will be displayed as a proposed value.

Overall current tax rate [ ]

Identifies an overall current tax rate for the current year. This is the sum of the corporate tax and the local tax.

This tax rate is used for calculations in the TRR line Expected income tax expenses/earnings. Difference be-

tween the country tax rate of the parent company and the country tax rate multiplied by earnings before tax

represents TRR reconciliation item. This will be discussed in detail later in this manual.


Overall deferred tax rate [ ]

Identifies a tax rate used for calculation of deferred taxes. This tax rate generally corresponds to the average

tax rate for the current year and/or the sum of two types of income tax [corporate tax and trade tax].

A deviation between the average tax rate for deferred taxes and average tax rate [current year] can result from

the change [future] of the country tax rate. The IAS 12 underlying liability method applies to the future tax

rate.

Deferred tax rate local tax [ ]

Specify here how much of the average tax rate of the deferred tax applies to the trade tax [local income tax].

The difference between both tax rates is applicable to corporate tax [Germany incl. solidarity tax].

This information is especially relevant for German partnerships. It is ensured, for example, that the share of

deferred tax for the corporate tax attributable to an external shareholder will not be displayed in the group. In

addition, the trade tax share of the deferred tax rate is used in the ‘LCF’ dialogue as a proposed value for cal-

culation of deferred taxes on the trade tax loss carry forward.

Additional tax rate [ ]

Here you should enter solidarity tax relevant for Germany [5.5%]. If a country has a different tax law, data

entries in this field do not result in any calculations in the GTC.

Theoretical background: tips on tax rates Below you will find different [made up] examples and their representation in the Countries dialogue.

Example 1: tax rates of a German corporation

An example GmbH [parent company] is based in a community with a local tax rate in the amount of 420%.

The corporate tax rate amounts to 15%, additional tax rate to 5.5% and the local tax rate is 3.5%. Tax rates

correspond to a combined corporate tax rate that is why in this example they represent the reference rates

when creating a country [Germany].

Fig. 36: Tax rates of a German corporation – ‘Countries’ dialogue


In the Company dialogue for a GmbH enter 420% in the Local tax rate row:

Fig. 37: Tax rates of a German corporation – ‘Countries’ dialogue

When creating other German companies different local tax rates are taken into account in every individual

data set in the Company dialogue. This can result in a difference to the average tax rate according to corporate

tax rate. This deviation automatically leads to reconciliation item in the TRR [deviation from the corporate

tax rate].

Example 2: deviating deferred tax rate

The corporate tax rate for the current business year 2014 amounts to 20%. The parliament of the country ap-

proved an increase of the corporate tax rate by 5% to 25%. The corresponding law was passed in December

2014 by the parliament and it has to be obeyed starting from the subsequent business year.

Current taxes have to be calculated with the tax rate of 20% in the business year 2014. For deferred taxes the

tax rate of 25% applies. Thus the accrued effect of deferred taxes is taken into account. In addition, IAS 12

underlying liability method applies to the future tax rate.


Fig. 38: Deviating deferred tax rate

For IFRS the new tax rate according to IAS 12.46 has to be enacted or substantively enacted. Different thresh-

olds apply to each country. In Germany, for example, Federal Council of Germany [Bundesrat] has to pass the

relevant law, the signature of the Federal President is not required.

Eventual TRR effects that result from the change of tax rate for deferred taxes are calculated automatically by

the GTC.


Example 3: local tax rate for foreign companies

The corporate tax rate amounts to 20%, local tax rate [identical tax base] to 8%. A change of future tax rate is

not foreseeable.

Fig. 39: Local tax rate for foreign companies

To enable the calculation of local taxes in the toolbox, activate the Local tax’ column in Toolbox option in the

Company dialogue for the selected company.

FX Code Euro is preselected in the GTC as a standard currency [ ]:

Fig. 40: FX Code settings by default

A standard currency code is used in the FX Code entry field to identify a foreign currency. Usually, it has to be

a three-symbol FX code [acc. ISO 4217, e.g. EUR, USD], max. 10 symbols can be used.

AMANA consulting Master Data – Periods Seite 45 | 125

Exchange rates have to match the consolidation system. Otherwise, there can be differences between the GTC

and the source system. Therefore it is recommended to import exchange rates from the source system [also as

Excel CSV file].

Indirect quotation is used to specify the exchange rate [e.g. USD: 1.32814 - is price in USD for one EUR].

Avg FX rate [RC to LC] [ ]

Average foreign exchange rate is used for conversion of income statement effects of deferred taxes.

FX rate [cut-off date, RC to LC] [ ]

The cut-off date FX rate is used to convert balance sheet items.

The difference from foreign currency translation is charged or credited to currency difference of equity item in

consolidated financial statement. Exchange rates are also used for reports.

Currency with decimal places

Activate this checkbox if the company values assigned to a country should be displayed with decimal places in

the GTC dialogues. This option is enabled by default.

Country names in other languages Language settings for the GTC can be made in the Home dialogue. In order to view data sets in other languages,

this data sets have to be created first. Otherwise, when trying to view a data set originally created in German

in other language, only a country ID is shown, the field ‘Country Name’ remains empty.

Fig. 41: Country name in other languages

The table area [see the figure above] with a language name appears in the Country dialogue only after clicking

Create button.

4.7 Periods

4.7.1 Standard period In the GTC master data, transaction data and changes in accounting logic depend on the selected period [e.g.

annual or interim financial statements, planning periods]. Data is created in a certain period to a certain due

date.

In case of changes, such as amendment of law, all [previous] periods remain unchanged. Deleted periods are

not deleted physically, they are moved to archived, so that the user can have access to old calculations at any

time.

The so-called standard period [---] is the very first period created in the GTC; it can only be used to manage

master data. When working in the GTC for the first time it is recommended to create master data in the stand-

ard period. After that you can create further periods and use the standard period as a template for master data.


Basically, it is up to every GTC user whether to keep the standard period always up to date in relation to master

data. For some GTC modules [e.g. Compliance] it is necessary to maintain the standard period.

Fig. 42: Standard period

4.7.2 Create and manage periods

Step-by-step creation of a period can be performed by clicking the [ ] Button.

4.7.3 Create and manage periods Periods should be created centrally by a group. It is recommended to maintain a unified nomenclature [e.g.

IFRS closing 2014-12-31].

To create periods as an expert you can use the button [ ].

In order to create a new period you need to define the following attributes. Info boxes [ ] contain the nec-

essary information.

Fig. 43: Create a new period

NEW

NEW


ID

ID is a number automatically assigned by the GTC to identify the period.

Name [ ]

Period name should be assigned according to a unified nomenclature for financial statements and reporting

dates. The entry is limited to 255 symbols.

End of period [ ]

It is the due date for the selected period [format YYYY-MM-DD; e.g. 2014-12-31].

Tax form

Use the Tax form position to select a suitable tax form for the selected assessment period. Select before 2015

for assessment periods before 2015 and the corresponding year for the periods after 2015 [assessment period

2015: tax form 2015].

Prior period

The prior period can be changed after period creation. This attribute is especially relevant because the GTC

calculates the movement of deferred taxes [P/L statement effect] based on this entry. When working in the

GTC for the first time select [---] as prior period.

Related period [ ]

Specify related period in the new version of a period. Usually an annual financial statement does not have a

related period, while a tax return period has annual financial statement as a related period.

Enter this information if a so-called true up has to be made for an already existing period, otherwise select [--

-].

Type of period [ ]

There are two basic types of periods: closing and planning. Planning periods have a different dialogue struc-

ture due to their different objectives. They are aimed at determining a future tax quote.

On the other hand, closing periods are relevant for calculation of deferred and current taxes. The GTC offers

four possible closing variants that cannot be changed anymore once the period is created:

Closing v3: tax calculation with German form dialogues, 2-step approach for balance sheet comparison,

more automated TRR.

Closing v2: tax calculation without German form dialogues

Closing v1: tax calculation with German form dialogues

Planning

Type of period first of all determines the number of dialogues for calculation of current taxes. Only the types

of period closing v3 and v1 [with form dialogues] contain tax detail dialogues [KSt 1A [corporate income tax],

Anlage WA etc.]. The period type closing v2 [without form dialogues] contains only the dialogue Current taxes.

Types of period are not relevant for the calculation of deferred taxes.

When using the GTC to prepare an electronic tax return, it is necessary to select the Closing v3 type.

The Planning type of period contains shortened dialogues for P/L statement-based calculation of current and

deferred taxes.


Master data / Tax calculation copy based on [ ]

When creating a new period you can use an existing period as a template. After selecting the period to be copied

you can also choose whether to copy transaction data of the selected period. In addition, if required you can

copy milestone status.

Fig. 44: Master data / Tax calculation copy based on

Basically, when creating a closing period, the system uses master data from an already existing period. Any

changes of tax rates have to be regarded when creating a new period.

The Anlage FE-K 4, which is available for companies, is not included in the transaction data copy.

When creating a true-up period it is recommended to use the Pre-fill new true-up period function; it fills out

the essential fields of the new period and selects options from the period to be copied.

Questionnaire Copy based on

When using the GTC Questionnaire mode you can copy transaction and/or master data of an existing period

to a new period. Every user defines which data sets should be regarded as transaction or master data when

creating a questionnaire.

Fig. 45: Questionnaire Copy based on

GTC version control / active patches

Generally, these two data sets should not be edited by the user when creating a new period, since they display

technical information. These values provide important information on existing GTC configurations of the se-

lected period.

If over time it comes, for example, to a change of tax law, these changes will be saved to a new calculation base.

The same applies if new features are added in the GTC or calculation procedure and automated calculations

changed.

While old periods are calculated using valid [old] calculation bases [according to current law], the latest calcu-

lation base is used for newly created periods. Newly created periods are therefore always [automatically] cre-

ated using the most recent calculation base.

An exception are periods that contain not only master data but also transaction data of an existing period [copy

based on]. In this case calculation base of the copied period is copied too [NOT the most recent calculation

base]. In this case calculation base can be changed by the user.

IMPORTANT


For example, if you create a new period Closing 2014-12-31 and copy master data and transaction data from

the previous period Closing 2013-12-31, the relevant calculation base [as of 2013-12-31] is copied too. If the

most recent calculation base should be used, the user has to change this setting after creating the new period:

Fig. 46: Change GTC version control in a newly created period

In the appeared dropdown select the period that has the necessary calculation base. The corresponding calcu-

lation base of a period can be found in the overview dialogue Periods in the CB column. The higher the value,

the newer [more current] is the CB.

Tax calculation method

Tax calculation method is relevant for calculation of current taxes. You can select either Annual report(Net)

or Tax return (Gross) option [based on section 12 of the KStG [Corporation Tax Code]; while acc. to section 8

of the KStG [Corporation Tax Code] selection cannot be made for members [=gross]. To this extent this attrib-

ute is relevant only for German companies.

The gross method is used for tax return. Data acc. to section 8 of the KStG [Corporation Tax Code] is considered

on the parent company level. That is why it is necessary to create a separate period for tax returns. If the check-

box Rounding = tax return logic is activated, all values in the current taxes dialogues will be rounded according

to the tax return logic.

Fig. 47: Option for the tax calculation method ‘Gross’

Net method is used for annual balance sheet. Data acc. to section 8 of the KStG [Corporation Tax Code] is

considered on the member level.

Accounting standards [ ]

Here you can choose between IFRS and Commercial Law when creating a new period. The selection is relevant

for the B/S comparison dialogue. IFRS period contain three balance sheet columns [IFRS-balance, Local bal-

ance, local tax balance sheet], while Commercial Law contains only local balance and local tax balance sheet.

This difference affects the Summary dialogue.

Automation current taxes

If this checkbox is activated, current taxes detail dialogues [KSt 1A, Anlage A etc.] are automatically synchro-

nized with the Current Taxes dialogue and proposed values are adopted automatically. This setting is only

available if you select Closing v3 as the type of period and select the before 2015 tax form.

If the tax form 2015 is selected, current taxes are synchronised automatically, no additional settings are re-

quired.

NEW


Tax calculation / Questionnaire / KapESTA deactivated

In an already created period you can deactivate/lock the GTC main dialogues Company [=tax calculation] and

Questionnaire. Questionnaire is the additional module NOT included into the GTC standard.

Fig. 48: Deactivate and lock

The following figure shows the GTC menu including Questionnaire:

Fig. 49: GTC: overview of main dialogues [incl. Questionnaire]

If you select deactivate Questionnaire option, this dialogue is deactivated and not shown in the selected period:

Fig. 50: GTC: overview of main dialogues [Questionnaire deactivated]

Tax calculation / Questionnaire period locked

In a previously created period there is a possibility to close or lock the GTC main dialogues Company [=Tax

calculation] and Questionnaire. After locking, the corresponding dialogues cannot be edited anymore; users

have only reading permissions. Locked periods are marked correspondingly in the overview of the master data

dialogue Periods. In addition, the GTC displays a corresponding notification in the individual dialogues of a

period:

Fig. 51: Tip: period is locked

Locking periods makes sense after all calculations have been made. To perform this action the corresponding

rights are required.


4.7.4 Sample configuration Annual statement 2016

Figure 7: Period example “Annual statement”

Row Explanation

Tax form 2016

Prior period Annual report 2015 [not Tax return 2015]

Type of period Closing v3 – GTC period after so-called release change

Master data / Tax calculation copy based on

If the master data is maintained in the standard period [---], it can also be used as a template for the new period “Annual statement 2016”. If the an-nual statement 2015 is used as a template, update the master data in the newly created period 2016 [e.g. tax rates]

Tax calculation method For annual report periods use the annual report [net].

Table 7: Period example “Annual statement”


Tax return 2016 [=True-Up Period]

Figure 8: Period example “Tax return”

Row Explanation

Tax form 2016

Prior period Tax return 2015

Type of period Closing v3

Related period Annual report 2016 – period for true-up

Master data / Tax calculation copy based on

Annual statement 2016 including tax calculation with transaction data: as a result, you just have to update the tax values already available in the annual statement 2016.

Tax calculation method For tax return periods use the tax return [gross].

Table 8: Period example “Tax return”


4.7.5 Export and import of periods

In the Periods dialogue the users have the possibility to export and import transaction data.

Figure 9: Export and import buttons in the “Period” dialogue

Select the period to be exported from the Periods dropdown menu. During the period export you have the

option to export the period with the compliance data, by activating the checkbox with compliance data. Under

the serialization in GPX file, the database tables that are exported are listed.

The exported database tables are listed under the Serialize to GPX-file header.

Figure 10: Export of a period

Comments are also exported during the period export. The export of the compliance data can also be selected

via the checkbox with compliance data.

During the period import, the period to which the transaction data is to be imported is selected via the Applies

to period dropdown. Use the button Durchsuchen to select the GPX file to be imported and import it with a

click on the Import button.

Figure 11: Import of a period

NEW


After the successful import of the file, the corresponding message with a green checkmark appears and the

object is be displayed. To save the data, click on the Save button.

Figure 12: Successful import of period data

AMANA consulting Master Data – Interface Seite 55 | 125

4.8 Interface

4.8.1 General explanations The Master Data dialogue Interface contains technical configurations for import and export of data. It is pos-

sible to create a fixed [company-specific] import routine or a so-called flexible interface. Please contact

AMANA for further details on these functions and their use in the GTC.

Figure 13: “Interface” dialogue

In short, the Interface Structures allow you to describe the format of import files, whereas you can use Map-

ping [Positions] to define the transformation of source positions to GTC form fields and to specify simple cal-

culation logic.

4.8.2 Interface Structure

Figure 14: Interface structure


The menu item Interface Structure contains a list of all structures already defined in the GTC with their most

important properties. The interface structure can be edited using the Edit icon [pencil].

Figure 15: Create interface


The format of the import file can be described here, that is: the file type and the fields are assigned to certain

positions of the import file.

On addition to the file-based import and export, GTC currently supports the following standard technologies:

Web Services

SAP RFC

Web services are interfaces based on the open standards, used for business-to-business communication be-

tween different systems. For example, web services can be used to retrieve and process data from GTC [e.g.

validation] in a consolidation system.

Remote Function Calls [RFCs] are a proprietary SAP protocol for data exchange with SAP systems. The use of

RFCs requires that a corresponding function module exists on the SAP side. In this way, balance sheet and

P&L statement data can be retrieved directly from SAP and processed further, which leads to increased data

security and requires less effort on the part of the GTC users.

As an alternative to the HB / StB deviation, the import of the tax balance sheet can also be defined. Since the

GlobalTaxCenter only stores the difference, it must be calculated from the tax balance value and the HGB value

during the import.

4.8.3 Mapping [Positions] During the Mapping you describe how a source position is mapped to the GTC target fields. The Export icon

[red arrow] can be used to download the template for the mapping file. This is an Excel file that you can edit

locally. The filled out file can be uploaded using the Import button [green arrow].

The mapping supports a number of mappings to GTC positions [possibly also with simple calculations and

GTC-specific instructions]. Please contact AMANA for more details on these functions.

Figure 16: Create mapping

NEW

AMANA consulting Master Data – Toolbox Seite 58 | 125

4.8.4 Interfaces within the tax portal There are predefined interfaces between the individual components of the tax portal, which can be used to

avoid multiple entries of data. The following table provides an overview of these interfaces.

Source Target Contents

GTC TQ e.g.: tax rates

TQ GTC e.g.: exchange rate

GTC VAT Master Data [company]

GTC STB Master Data [company]

GTC STB Audit data

STB GTC Balance sheet and P&L values

Table 9: Interfaces between tax portal components

The interfaces can be used after the activation of certain flags and permissions.

4.9 Toolbox

4.9.1 Toolbox configuration In the master data dialogue Toolbox you can select the configuration for actual tax calculation [calculated in

the Current Taxes dialogue in the Company tab] for every country created in the Countries dialogue. First of

all select the relevant period and country in the dialogue header. Different configurations can be made for every

country and every period.

Toolbox configuration is not possible for countries with tax laws Germany, Austria, Switzerland. These coun-

tries already have their individual tax calculation procedure in the GTC.

Fig. 52: Dialogue header Toolbox


Next you can activate or deactivate optional lines [grey font / white background] by clicking on them. Some

lines are fix and cannot be changed [grey background].

Fig. 53: Toolbox configuration

The Current Taxes dialogue look in the Company tab changes according to the toolbox configurations:

Fig. 54: ‘Current Taxes’ dialogue after toolbox configuration


4.9.2 Copy settings Toolbox is usually configured manually, you activate the required lines by selecting the corresponding check-

boxes. The Copy Settings function [ ] offers another possibility of toolbox configuration:

Fig. 55: ‘Copy Settings’ in the ‘Toolbox’ dialogue

[Toolbox settings] …copy to country

This option offers a possibility to copy toolbox settings of the selected country to other countries. The ‘Select

Options’ dropdown list contains all countries of the selected period. You can select one or several countries.

If the Delete existing settings checkbox is activated, toolbox settings of the country to which the information

is copied are overwritten. If the checkbox is deactivated [see the figure above], the settings are preserved and

the copied configuration is added to the existing. The checkbox is deactivated by default.

[Toolbox settings] … copy to period

Using this option you can copy configuration of the selected period and country to another period. Select the

required period from the dropdown list, you can also select several periods. The copy is relevant only for the

currently selected country.

[Toolbox settings] … export to file

Already selected toolbox configurations can be exported to an Excel CSV file [in addition to a normal Excel

view]. There is a possibility to export all countries to an Excel CSV file [identical checkboxes have to be acti-

vated].

AMANA consulting Master Data – Dialogue configuration Seite 61 | 125

[Toolbox settings] … import from file

Excel CSV files can be imported to the GTC. Manual toolbox configuration is not possible when selecting this

option. Once imported, the GTC reports about the successful import with the corresponding message in the

dialogue header [ ].

4.9.3 Theoretical background: toolbox tips Calculation of current taxes in the GTC is especially important for generation of TRR. German companies can

collect their data in tax detail dialogues [Einkünfte, KSt 1A etc.] and in the Current Taxes dialogue in accord-

ance with country-specific tax requirements.

This detailed tax data collection is available ONLY for the companies assigned to Germany [country]. Excep-

tions are Switzerland and Austria. It is recommended to use toolbox to ensure a country-specific tax calcula-

tion.

The toolbox supports correct country-specific tax calculation. Using toolbox GTC users have to answer fewer

tax-related questions. This is not only time-saving but also increases data quality in the GTC and informational

value of TRR.

More than 200 rows are usually available for the configuration of tax calculation. In addition, there is a possi-

bility to extend the row options in the GTC. Only the grey-highlighted fields are required in the TRR dialogue

and cannot be changed:

Fig. 56: Grey-highlighted fields in the ‘Toolbox’ and ‘Current Taxes’ dialogues

Recommended procedure to configure toolbox

A detailed preliminary analysis is necessary for a targeted initial toolbox configuration [as few rows for the

country-specific issues as possible]. Therefore it is recommended to configure the toolbox in close cooperation

with the local tax department or tax consultant of the selected company.

Dialogue configuration The Dialog Configuration dialogue allows the user to configure the visibility and editability of individual rows

and columns of the dialogues Others and TRR.

NEW

AMANA consulting Master Data – User Seite 62 | 125

Figure 17: Structure of the “Dialog Configuration” dialogue

You can specify which rows should be visible per period and whether the row can be edited. Only users with

the Dialog Restriction Execute permission object can see these changes.

4.10 User

4.10.1 Create and manage users The GTC users are managed in the Master Data dialogue User. The most important attributes of a user, e.g.

roles, assigned companies, and the contact data are displayed in the overview table. Any number of users can

be created.

Users with a yellow warning triangle in the overview dialogue are blocked and have no access to the GTC [e.g.

wrong password]:

Figure 18: Yellow warning triangle – blocked user

User ID

The user ID is assigned automatically as a consecutive number by the GTC. Each ID is assigned only once to a

user. Even after deleting the user, the ID is not reused.

AMANA consulting Master Data – User Seite 63 | 125

Figure 19: Detail view user

Login [ ]

The [GTC] Login is freely selectable and can consist of letters, numbers and special characters. A later change

of login after the initial creation of the user is possible.

First name

The entry of the first name is optional.

Surname [ ]

The surname is a required field.

Description / Phone number / Email

These entries are optional. However, it is recommended to save this information for contact purposes. This is

relevant, for example, for cases where users work in one company and thus access to this company is blocked

for other users. In case the contact details are available, they are displayed in the corresponding message [Com-

pany is currently being edited by person John Doe].

Expiration date

A user can be created for a limited period of time. This can be relevant for external consultants who get ac-

cess to the GTC for a limited period of time.

Password / Confirm password [ ]

The administrator of the GTC assigns the initial password for every user. This password must be changed by

the user on the first login into the GTC. This also applies if the password is reset for an existing GTC user.

Elster-Zertifikat

After clicking the [ ] button, the user is saved to the GTC database. It is recommended to add the

Elster-Zertifikat in the My Profile dialogue. This setting applies only to users who want to send their tax dec-

larations for German companies from the GTC [function is not included in the GTC standard].

4.10.2 Assignment of roles After the new user has been created, rights and/or roles can be assigned. This allocation can be made individ-

ually for each company [e.g. local company supervisor] or affect the entire group [e.g. subgroup responsible].

In addition to the manual assignment of roles, the settings can also be made based on existing user configura-

tions. The function copy based on is available here. The use of this copy function makes sense if several people

AMANA consulting Master Data – Roles Seite 64 | 125

are responsible for the same companies and have the same permissions. In this case, the detailed configuration

must be made only once.

Role [ ]

The roles are managed in the Master Data dialogue Roles. For example, an auditor can be assigned the corre-

sponding role Auditor [read-only]. If there are no restrictions, select [---].

Company [ ]

Each role can be limited to one [or more] companies. For example, it can be defined that foreign auditors can

only access certain companies. If there are no restrictions, select [---]. Then the role is not limited to a company.

Reporting Dimension [ ]

The selected role can also be restricted to reporting dimensions that are stored in the Master Data. If there are

no restrictions, select [---].

Country [ ]

Roles can be limited to countries. If there are no restrictions, select [---].

The assignment of individual roles ensures a sophisticated rights allocation system. In this way, for example,

it is possible to ensure the four-eye principle.

4.11 Roles

4.11.1 Create and manage roles Roles and authorisations are managed in the Master Data dialogue Roles. The role concept implemented in the

GTC allows a differentiated control over the data access. This concept supports the four-eye principle for the

data quality assurance. All available roles are listed in the dialogue overview.

A role is the combination of several authorisations – initially without certain assignment to companies. The

authorisations created in the Roles dialogue can be assigned in the User dialogue.

Name [ ]

After clicking on the [ ] button, a subdialogue opens, here you can enter the name for the new role.

The roll name is freely selectable and can be changed at a later date.

Figure 20: Create a new role

The ID is assigned automatically by the GTC.

AMANA consulting Master Data – Administration Seite 65 | 125

Authorisations [Object-Value]

When the role is created, authorizations can be assigned. For this purpose, use the available drop-down menu.

The selection list shows all possible combinations of objects [e.g. Master Data] and values [Read, Edit].

Figure 21: Assign authorisations to the created role

An overview of the possible object-values and the associated authorizations or properties can be requested

from AMANA. The plus symbol allows you to assign multiple authorisations to a role.

Cascading

If the Cascading checkbox is activated, the selected authorisation is assigned cascading [attribute is thus only

relevant for the company-specific authorisations]. For example, if the user is assigned the right to edit the

balance sheet comparison for the parent company in the User dialogue, this authorisation also applies to sub-

ordinate companies. Such situation is typical for a subgroup: the subgroup manager does not need to have a

separate role for each subgroup company. The role must only be assigned to the parent company and then

cascaded for all subordinate companies.

4.12 Administration

4.12.1 Reporting dimensions New reporting dimensions can be created in this area. These data sets are then available for the creation of

dimensions in the Master Data dialogue Reporting Dimension [cp. Fehler! Verweisquelle konnte nicht g

efunden werden.Fehler! Verweisquelle konnte nicht gefunden werden.]. Therefore, reporting di-

mensions must be created before the creation of dimensions. A later change is possible. It has to be taken into

account that this setting is not period-specific.

Figure 22: Create reporting dimensions in the “Administration” dialogue

To delete a data set, select one of the available IDs and overwrite all the languages with a blank name. After

overwriting the last existing name, the record is deleted.


4.12.2 Broadcast message to users on Home page Settings that influence the functioning of the GlobalTaxCenter are managed in the Master Data dialogue Ad-

ministration.

The Broadcast message to users on Home page area has two main functions: it can be used to edit the welcome

text on the Home page and activate individual GTC functions.

Figure 23: Enter the message to be shown on the Home page

The information saved in this area can be created in several languages and then appears on the GTC Home

page [Dialogue Home]. It can make sense for e.g. to inform the GTC user that they work in the GTC operating

or GTC test system.

Figure 24: A welcome message on the Home page

In addition, this dialogue can be used to manage the GTC functionalities, e.g. enable or disable. For this pur-

pose, copy&paste a code created by AMANA [so-called flag] in the text field and then click on Create. The

system settings are displayed in the Other system configurations area:

Figure 25: System settings


4.12.3 Revaluation surplus This area can be used to create new items and edit the existing revaluation surplus. These data sets are available

in the Master Data dialogues CoA Group and CoA Company for creation of the balance sheet items not affect-

ing net income [cp. Fehler! Verweisquelle konnte nicht gefunden werden./ 4.5.2 Create and manage

company accounts]. A later change is possible. It must be taken into account that this setting is not period-

specific.

Figure 26: Create revaluation surplus in the “Administration” dialogue

The allocation of balance sheet items not affecting net income to different items [e.g. AFS securities in ac-

cordance with IAS39 or pensions in accordance with IAS19] enables the precise classification of deferred taxes

on the balance sheet items.

To delete a data set, select one of the available IDs and overwrite all the languages with a blank name. After

overwriting the last existing name, the record is deleted.

AMANA consulting Company – Workflow Seite 68 | 125

5. Company

5.1 Workflow The main dialogue Company is used to calculate current and deferred taxes. Electronic tax return can also be

sent to the tax office from this GTC area. The figure below demonstrates the workflow in the Company area.

Individual dialogues are described later in this manual.

Fig. 57: Workflow between individual dialogues in the ‘Company’ main dialogue

B/S comparison [1]

Use ‘B/S comparison’ tab to calculate deferred taxes arising from temporary differences. Stocks and corre-

sponding profit and loss statement impacts are summarised in the Summary dialogue.

Asset differences between local balance and local tax balance sheet lead to calculation of tax profit differences.

This difference appears in the dialogue Current Taxes / KSt 1 A / Einkünfte / Report StB as a proposed value

[represented by a dashed line].

Current taxes [2]

This dialogue is used for calculation of current income taxes, either as a shortened dialogue or together with

form dialogues [Anlage A etc.]. The calculated taxable income appears as a proposed value [represented by a

dashed line] in the LCF dialogue in the event of loss. In addition, the dialogue shows tax rate reconciliation

effects [tax-free dividends, non-deductible expenses, etc.] for the TRR dialogue.

Tax loss carry forward [3]

Inventory management of tax loss carry forward [corporation tax, trade tax, capital gains, German Interest

Capping Rule / Other]. In case of recoverability of deferred taxes the calculation of deferred taxes takes place.

In case of non-recognition the corresponding effect will be taken into account as TRR reconciliation item in

the TRR dialogue.

Summary [4]

Users cannot enter data in this area. This distinguishes this dialogue from other areas represented here. This

dialogue contains the summary of deferred taxes; current taxes are not shown here. The dialogue can be used

as posting template.

AMANA consulting Company – Workflow Seite 69 | 125

Other disclosures [5]

Adjustments of previous periods or detection of true-up effects is carried out in the Other Disclosures dialogue.

It ensures that the GTC also takes into account specific circumstances.

TRR [6]

TRR checks the calculation of current and deferred taxes. The TRR dialogue contains links to other dialogues

in the main area Company.

In addition to the mentioned dialogues, the main area Company also contains Reports [e.g. Report DT] and

tax forms:

Fig. 58: ‘Company’ dialogue

Calculation of taxes is carried out in the local currency of every company.

AMANA consulting Company – Status Seite 70 | 125

5.2 Status

5.2.1 Status milestones The workflow in the GTC main dialogue Company is based on a milestone concept. Thus individual activities,

for example, calculation of current and deferred taxes, are systematised. In addition, this concept ensures a

review process [the four-eye principle]. Milestones are created per company and per period. There is a possi-

bility to view statuses for all group companies based on milestones in the main dialogue [Sub-] Group.

By default, there are three milestones or activity areas available [Current Taxes, Deferred Taxes, and Tax Rate

Reconciliation]. The number of milestones can be customised [e.g. add a milestone Review]. The figure below

contains additional milestones Others and Questionnaire.

Fig. 59: Milestones in the ‘Status’ dialogue

The status of the milestones on the figure is not started. Thus, individual dialogues cannot be accessed. When

trying to open one of the dialogues, the corresponding notification is shown:

Fig. 60: Access denied as long as milestone status is ‘not started’

Milestones will always have this status if you work with a company for the first time in a period. The process

in the GTC is started when clicking on the milestone; its status changes to in process. The following table con-

tains possible states:


not started

Initial status [e.g. when creating a new period]; dialogues cannot

be opened or edited. When clicking on the milestone the status

changes to in process.

in process

Dialogues can be edited. In addition, this status means that the

dialogues have not been saved yet or that validation errors have

been found.

data ok

Dialogues have been saved; validations do not contain errors [a

possible validation error is, for example, not balanced account].

A further processing of dialogues is still possible.

The status can be changed back to in process if the entries result

in validation errors.

finished

The status ‘finished’ is set after clicking on the milestone with

the data ok status. This indicates that, e.g. work on deferred

taxes is finished. In addition, this status means that the corre-

sponding dialogues are closed for editing and can be viewed in

the read mode only.

To change the status back to data ok and enable editing you need

the corresponding permissions in the main dialogue [Sub-]

Group.

Checked

The milestone checked is used to ensure the four-eye principle.

The status is changed to checked when clicking on the milestone

with the finished status.

This status can be activated only by one user with corresponding

permissions. The GTC makes sure that the status finished and

the status checked are not activated by the same user.

For the workflow in the GTC it is enough if the milestones have

the status finished. You can change the milestone status back to

the previous status provided you have the corresponding per-

missions in the main dialogue [Sub-] Group.

Table 10: Milestones status

Next to every milestone you can see the name of the user who was the last to change the milestone status and

the time of change. This information for all companies can be viewed in the main dialogue [Sub-] Group.


5.2.2 Decrease the status of milestones Decrease the status of milestones in the main dialogue ‘[Sub-] Group’

Overview of the milestones of a group company can be found in the [Sub-] Group tab in the Status dialogue.

Only in this dialogue you can decrease the status of the finished milestones. Opening of a finished milestone

may be reasonable if you have to make some subsequent changes.

To decrease the milestone status click on the required milestone.

Fig. 61: Milestones overview in the ‘Status’ dialogue – ‘[Sub-] Group’ tab

A security query appears when you click on the milestone:

Fig. 62: Security query when decreasing milestone status

After that the selected milestone status is decreased. A milestone with the checked status [blue] receives the

status finished [green]. A further click on the milestone decreases its status to in process [yellow]. The follow-

ing figure shows status overview after decreasing the milestone TRR status from checked to in process:

Fig. 63: Decreased milestone

You can decrease milestone status for individual companies. Please mind that it is not possible to decrease the

status of the milestone Current Taxes Charge for members of tax groups and partnerships [also dependent

companies] if the status of the parent company is finished. In this case the following error message appears:

Fig. 64: Decrease the status of milestones – Error message because of the higher unit


Decrease milestone status by changing master data in the ‘Company’ dialogue

It is allowed to change data in the Company dialogue [main dialogue Master Data] only if the milestones of

the selected company do not have the status finished. Otherwise, an error message appears:

Fig. 65: Change master data in the ‘Company’ dialogue – Error message since the milestone is ‘finished’

If you still want to change the data in the Company dialogue, decrease the status of the finished milestones

first.

Decrease milestone status by changing master data in the ‘Countries’ dialogue

Data changes [e.g. tax rates] in the Countries dialogue applies to all companies that belong to the selected

country. If some companies that belong to this country have the milestone status finished, a security query

appears. Upon confirmation the milestone status is changed to in process.

Fig. 66: Security query when changing master data in the ‘Countries’ dialogue


5.2.3 Copy transaction data

The [ ] option can be found in the upper right part of the Status dialogue. Click on the

button and a new dialog opens. Here you can select the transaction data and period to be copied:

Fig. 67: Copy transaction data

The number of copied data sets [per selected row] is shown after copying in the third column of the dialogue

box.

The Anlage FE-K 4, which is available for companies, is not included in the transaction data copy. IMPORTANT


5.2.4 Print company

The [ ] option can be found in the upper right part of the Status dialogue. Click on the button

and a new dialog box opens. Here you can select the dialogues to print:

Fig. 68: Print company

The print view is displayed in a new tab of your web browser. It can be printed or saved as a PDF.

AMANA consulting Company – Calculation of deferred taxes Seite 76 | 125

5.3 Calculation of deferred taxes

5.3.1 Import Import from the previous system

The dialogue “Import” allows the import of transaction data [e.g. from the SAP system] into the GTC. Data can

be imported into the balance sheet comparison and the tax forms. The Import routine is user-specific and is

documented separately during the project implementation.

Figure 27: Dialogue “Import”

After the import, the uploaded values are displayed in the table below. A successful import of data is marked

by a green checkmark. If the import was unsuccessful, an error message is displayed for each affected row.

Figure 28: Import of values

Click Save to complete the process. Otherwise the imported values are not saved by the GTC.


5.3.2 B/S Comparison Basic functions

The basic functions of the B/S Comparison dialogue can be found on the button bar of this dialogue.

Fig. 69: Button bar in the ‘B/S Comparison’ dialogue

Save [ ]

The diskette symbol saves a data set. All entries in the B/S Comparison dialogue must be saved; this applies

even if the values are imported and no manual changes have been made.

Import [ ]

The import button calls up the dialogue where you can import values for the B/S Comparison [and tax detail

dialogues]. The dialogue can also be called up directly in the main dialogue Company [ ].

Create comment [ ]

This button can be used to create comments for the B/S Comparison.

Calculate local GAAP [ ]

This function is available in the subdialogue IFRS – Local GAAP. The values from the IFRS balance are copied

to the local balance. The values are copied to the Local GAAP – Tax Balance tab automatically. Please mind

that existing Local GAAP values are overwritten. A subsequent recovery of these values is not possible.

Maintain columns [ ]

A click on this button opens a new subdialogue.

Reset columns [ ]

This button allows the GTC users to reset the contents of all columns to zero. Before that a security query pops

up, upon its confirmation the data is reset. A subsequent restoration of deleted data is not possible.

Fig. 70: Securoty query for ‘Reset Columns’ option

Split differences [ ]

This function depends on the settings for calculated balance sheet differences split in the master data dialogue

CoA Group. The function is activated separately in the subdialogues Local GAAP – Tax Balance and IFRS –

Local GAAP.


To automate the process it is predefined in the master data whether possible balance differences in the selected

account position are temporal or permanent. In addition, you have to define whether value movement affects

P/L statement [profit and loss statement] or not [OCI].

The Split differences function uses this information for automatic allocation of balance differences to thereof

columns:

Temporary differences P/L [calculation of deferred taxes, affecting P/L statement]

Temporary differences OCI [calculation of deferred taxes, not affecting P/L statement]

Permanent differences P/L [no calculation of deferred taxes, affecting TRR]

Permanent differences OCI [no calculation of deferred taxes]

Thereof columns present in the master data tab have black frames around them [see the figure below]. This

allows the user to identify target columns before using the function. A manual adjustment is possible at any

time.

Fig. 71: Thereof columns in B/S Comparison

Reports [ ]

The Reports button contains a link to the main dialogue Reports – .

To true-up period [ ]

If there exists a prior period with a true-up period for the selected period, you can call up the B/S Comparison

dialogue for the true-up period. To go back to the current period click the [ ] button.

Expand/collapse account positions [ ]

Account positions can be expanded or collapsed to optimise the view. You can expand/collapse account posi-

tions selectively [per position] or altogether [for the whole balance sheet].

Delete all column values [ ]

All values of a column can be deleted by clicking on the recycle bin icon. After doing this save the dialogue.

Only after saving the changes will be applied.

+ and – signs in account positions

B/S Comparison follows the SAP logic. Therefore, enter a ‘+’ sign before assets and a ‘-’ before liabilities.


Structure of the ‘B/S Comparison’ dialogue In addition to the LCF dialogue, the B/S Comparison dialogue is the central dialogue for calculating deferred

taxes. It consists of several subdialogues. The balance sheet structure corresponds to the structure created in

the master data for the selected period. The structure in subdialogues is the same.

Fig. 72: Subdialogues in the ‘B/S Comparison’ dialogue

Companies that are saved as partnerships in master data [and are regulated by the German tax law] in addition

to four main tabs have the subdialogue Supplementary tax balance sheet:

Fig. 73: Subdialogues in the ‘B/S Comparison’ dialogue – partnerships

Companies that are not regulated by the German tax law [foreign companies] can additionally switch on the

Additional Tax subdialogue. To do this activate the following checkbox in the master data dialogue Company:

Fig. 74: Subdialogues in the ‘B/S Comparison’ dialogue – foreign companies

Applies to all dialogues: assets should be entered with a ‘+’ sign before them, liabilities – with a ‘-’ sign, in

accordance with the SAP logic.

Subdialogue ‘Local GAAP – Tax Balance’ The local balance [for German companies: commercial balance sheet] is displayed in the Local Balance column

of the Local GAAP – Tax Balance subdialogue. The Correction to the local tax balance column [in case it is a

German company] contains deviations acc. to sect. 60 para. 2 of EStDV [Income Tax Ordinance]. The Local

tax balance sheet column displays results from the columns Local balance and Correction to local tax balance.

Tax balance sheet values cannot be entered directly, they are always taken from these two columns.

Fig. 75: ‘B/S Comparison’ dialogue – subdialogue ‘Local GAAP – Tax Balance’

The column Import shows balance sheet values imported via the interface; these values cannot be edited. The

column Manually is available for the manual input of information, e.g. reclassification or adjustments to im-

ported values. The column Total displays the values relevant for calculation of balance sheet differences.


If you want to use the Manually column in the Local GAAP – Tax Balance subdialogue, you need to activate

the [ ] checkbox in the master data dialogue Company first. This

checkbox is usually activated by default and B/S Comparison can be edited manually.

Fig. 76: ‘B/S Comparison’ dialogue – columns for import and manual adjustments

Balance sheet differences between local balance and local tax balance sheet calculated in the GTC are displayed

in the column Relevant Differences Gross. These differences have to be allocated to the Thereof columns and

serve as a tax base for calculation of deferred taxes. Balance-sheet gross differences are multiplied by the coun-

try tax rate saved in the master data dialogue Countries:[ ].

The following figure displays two balance sheet differences. In the position Rechte and Lizenzen there is a

difference of -50,000 and in the Land and buildings - +15,000. Both differences are temporary and affecting

P/L statement [thereof differences – P/L statement – 30%]. A tax rate of 30% is saved in the master data:

Fig. 77: Example of balance sheet differences

The Summary dialogue displays deferred taxes from both periods. Balance sheet difference of – 50,000 in the

current period results in the deferred tax liabilities long-term of -15,000 [= 50,000 x 30%]. In this example in

the Land and buildings position there is the deferred tax asset of 4,500 [= 15,000 x 30%]. This results in a

total thereof P/L of 10,500 [plus sign: expenses; minus sign: income].

Fig. 78: Effects of the ‘Local GAAP – Tax Balance’ subdialogue in the ‘Summary’ dialogue

In the example above the relevant account positions are marked as long-term, therefore the GTC calculates

long-term deferred taxes.


Subdialogue ‘IFRS – Local GAAP’ The subdialogue IFRS – Local GAAP displays IFRS balance and the local balance. The Local balance column

is copied from the Local GAAP – Tax Balance subdialogue.

Fig. 79: ‘B/S Comparison’ dialogue – subdialogue ‘IFRS – Local GAAP’

The Import column shows balance sheet values imported via the interface; these values cannot be edited. The

column Manually can be filled out by the user, e.g. reclassification or adjustments of imported values. The

column Total displays the values relevant for calculation of balance sheet differences.

If you want to use the Manually column in the IFRS – Local GAAP subdialogue, you need to activate the [

] checkbox in the master data dialogue Company first. This check-

box is usually activated by default and B/S Comparison can be edited manually.

Fig. 80: ‘B/S Comparison’ dialogue - columns for import and manual adjustments

Balance sheet differences between IFRS balance and local balance calculated in the GTC are displayed in the

column Relevant Differences Gross. These differences have to be allocated to the Thereof columns and serve


as a tax base for calculation of deferred taxes. Balance-sheet gross differences are multiplied by the country tax

rate saved in the master data dialogue Countries: .

The following figure displays balance sheet difference between IFRS and local balance. In the position Rechte

and Lizenzen there is a difference of -20,000. The difference is classified as temporary and affecting P/L state-

ment [thereof differences – P/L statement – 30%]. A tax rate of 30% is saved in the master data:

Fig. 81: Example of balance sheet differences IFRS – Local GAAP

The Summary dialogue displays deferred taxes from the period. Balance sheet difference of -20,000 in the

current period results in the deferred tax liabilities long-term of -6,000 [= 20,000 x 30%]. This results in a

total thereof P/L of 6,000 [plus sign: expenses; minus sign: income].

Fig. 82: Effects of the ‘IFRS – Local GAAP’ subdialogue in the ‘Summary’ dialogue

In the example above the relevant account position is marked as long-term, therefore the GTC calculates long-

term deferred taxes.

Subdialogue ‘Additional Tax’ The subdialogue Additional Tax is displayed only for those companies that are not regulated by the German

tax law. The aim of this dialogue is to take account of differing tax bases for the local income tax.

Fig. 83: ‘B/S Comparison’ dialogue – Subdialogue ‘Additional Tax’

The Correction to local tax balance column can be filled out by the user. Other balance sheet columns are

linked to the corresponding subdialogues [e.g. IRFS balance with the subdialogue IFRS – Local GAAP].


If you want to use the Additional Tax subdialogue, you need to activate the [ ]

checkbox in the master data dialogue Company first. This checkbox is not activated by default.

When using this subdialogue it is assumed that users will make use of [ ] function to split

the differences. Balance sheet differences are displayed in the columns Correction to local tax balance and

IFRS Balance.

The following figure represents a balance sheet difference between IFRS Balance and Local tax balance sheet.

In the position Rechte and Lizenzen there is a difference of 100,000. The difference is classified as temporary

and affecting P/L statement [thereof differences – P/L statement – 20%].

Fig. 84: Example of balance sheet differences IFRS - ‘Correction to local tax balance’ and ‘IFRS Balance’

The Summary dialogue displays deferred taxes from the period. Balance sheet difference of 100,000 in the

current period results in the deferred tax of 20,000 [= 100,000 x 20%]. This results in a total thereof P/L of -

20,000 [plus sign: expenses; minus sign: income].

Fig. 85: Effects of the ‘Additional Tax’ subdialogue in the ‘Summary’ dialogue

In the example above the relevant account position is marked as long-term, therefore the GTC calculates

long-term deferred taxes.

Subdialogue ‘Total IFRS – Tax’ The subdialogue Total IFRS – Tax provides an overview of all assets and liabilities in IFRS balance, local bal-

ance and local tax balance sheet. The values for these columns cannot be edited, since they are taken directly

from other dialogues. The Relevant Differences Gross column shows the difference between the IFRS balance

and Local tax balance sheet [local tax balance sheet value minus IFRS balance value].


Fig. 86: ‘B/S Comparison’ dialogue – subdialogue ‘Total IFRS – Tax’

Values in the subdialogue Total IFRS – Tax are linked to the following subdialogues:

Local GAAP – Tax Balance

IFRS – Local GAAP

The following subdialogues are not relevant for the Total IFRS – Tax subdialogue; they are used for calculation

of deferred taxes and displayed in the Summary dialogue:

Supplementary tax balance sheet

Additional Tax

Other deferred taxes

Subdialogue ‘Other deferred taxes’ The Other deferred taxes subdialogue allows for direct calculation of deferred taxes per account position [e.g.

adjustments from tax audit]. This subdialogue works so far without balance differences. The calculated de-

ferred taxes can be entered either into the column affecting P/L statement or OCI. The classification of de-

ferred taxes with regard to their maturity depends on the settings in the master data dialogue CoA Group.

The following figure displays the entry in the Other deferred taxes column. In the position Land and buildings

there is a deferred tax of 2,500 €.

Fig. 87: Example in the ‘Other deferred taxes’ subdialogue


The Summary dialogue displays deferred taxes from the period. Positive entry in the affecting P/L statement

column results in a corresponding affecting P/L statement deferred tax of 2,500 €:

Fig. 88: Effects of the ‘Other deferred taxes’ subdialogue in the ‘Summary’ dialogue

In the example above the relevant account position is marked as long-term, therefore the GTC calculates long-

term deferred taxes.

Validations in the ‘B/S Comparison’ dialogue A number of validations are implemented in the B/S Comparison dialogue. In case of any inconsistencies, the

corresponding error messages are displayed in the dialogue header. The milestone Deferred Taxes cannot be

closed if there are validation errors.

Validation rules are applied to every subdialogue, i.e. both for the Local GAAP – Tax Balance and IFRS – Local

GAAP.

Fig. 89: Error messages in the ‘B/S Comparison’ dialogue

The balance sheet isn’t balanced or isn’t saved

Balance sheet can be saved by clicking on the Save symbol [ ].

If the balance sheet is not balanced [sum of assets unequal sum of liabilities], an error message pops up. In

addition, an exclamation mark appears in the upper B/S comparison row:

Fig. 90: Error message if the balance sheet is not balanced

The upper row of the balance sheet has to contain zero values [a ‘balanced’ balance sheet]. The only exception

here is the column Relevant Differences Gross: it may contain non-zero values and this does not result in a

validation error.

Fig. 91: Column ‘Relevant Differences Gross’


Allocation of difference incomplete

Calculated balance sheet differences have to be allocated to different thereof columns. The validation rule Al-

location of difference incomplete checks whether this requirement is met. Not allocated differences are marked

in the table view with an exclamation mark:

Fig. 92: Error message if the allocation of difference is incomplete

Theoretical background: balance sheet comparison tips Basically, there are four possible scenarios that can result in temporary differences and deferred taxes:

Balance sheet assets:

1. IFRS value > tax value [taxable temporal difference / deferred taxes liability]

2. IFRS value < tax value [deductible temporal difference / deferred taxes asset]

Balance sheet liabilities:

3. IFRS value < tax value [taxable temporal difference / deferred taxes liability]

4. IFRS value > tax value [deductible temporal difference / deferred taxes asset]

Asset values in the GTC are displayed with a ‘+’ sign, while liability values with a ‘-’ sign. This results in the

following gross differences for every individual column:

Balance sheet Sign for ‘Gross Differences’ column

Assets [-] deferred taxes liability [DTL]

Assets [+] deferred taxes asset [DTA]

Liabilities [-] deferred taxes liability [DTL]

Liabilities [+] deferred taxes asset [DTA]

Table 11: Sign for ‘Gross Differences’ column

A ‘+’ sign in the ‘Relevant Differences Gross’ column results in deferred taxes asset; a ‘-’ sign – in deferred taxes

liability:


‘Relevant Differences Gross’ column: ‘+’ sign:

Fig. 93: Example of a ‘+’ sign in the ‘Relevant Differences Gross’ column – ‘B/S Comparison’ dialogue

Fig. 94: Example of a ‘+’ sign in the ‘Relevant Differences Gross’ column – ‘Summary’ dialogue

‘Relevant Differences Gross’ column: ‘-’ sign:

Fig. 95: Example of a ‘-’ sign in the ‘Relevant Differences Gross’ column – ‘B/S Comparison’ dialogue

Fig. 96: Example of a ‘-’ sign in the ‘Relevant Differences Gross’ column – ‘Summary’ dialogue

5.3.3 LCF Tax losses carry forward

The LCF dialogue is used to administer and evaluate tax losses carry forward [keyword recoverability of de-

ferred tax assets]. Several LCF categories [or future tax advantages] can be selected, depending on tax law and

legal form:

Tax losses carry forward corporate tax

Tax losses carry forward local tax

German Interest Capping Rule

Tax losses carry forward § 15a EStG [has to be created in ‘Master Data’]


Tax Credits [foreign countries only]

Capital losses [foreign countries only]

The roll forward of tax losses carry forward is performed in the Rollforward LCF subdialogue [

]. This subdialogue displays the gross amount of a tax loss carry forward and will be ex-

plained in detail later in this manual.

Gross amount

The Gross amount column contains losses carry forward from the current and previous periods. When the

Show details checkbox is activated, expiration date can be specified. No deferred taxes are calculated for the

gross amount.

Fig. 97: Column ‘Gross amount’ in the ‘LCF’ dialogue

Gross amount short/long term usable

The assessment of the future realisability of losses carry forward [recoverability check] is performed in the

Gross amount short term usable and Gross amount long term usable columns. Short-term items have a time

frame of 12 months. The gross amount can be divided into short- and long-term.

The gross amount usable serves as a tax base for calculation of deferred taxes. If the allocation is made to the

expiration date, a usable amount has to be allocated to every year.


If there are no restrictions regarding the expiration date, the LCF can look like in the following figure: EUR

10,000,000 gross amount – thereof EUR 7,000,000 long-term usable.

Fig. 98: ‘Gross amount long term usable’ column in the ‘LCF’ dialogue

Reassessment – gross amount [-]

LCF value adjustments should be entered with a ‘-’ sign. Calculate tax base not tax effects.

Fig. 99: ‘Reassessment – gross amount [-]’ column in the ‘LCF’ dialogue

Do not enter expiration date in the reassessment column. The allocation is done automatically according to

data in the columns Gross amount short term usable and Gross amount long term usable.

Deferred tax rate current period

Tax rate used for calculation of LCF must be created by the user. A proposed value taken from the master data

is displayed here [see the figure above: 15%]. Please consider tax rates for different types of LCF [tax losses

carry forward corporate tax or tax losses carry forward local tax].


Calculation of deferred taxes – ‘Summary’ dialogue

The usable LCF amount [here EUR 7,000,000] is multiplied by a tax base [here: 15%]. This results in EUR

1,050,000 of deferred taxes. In addition, reassessment of EUR 1,000,000 [EUR [-150.000 tax effect] has to be

taken into account. Calculation steps are summarised in the Summary dialogue:

Fig. 100: LCF the ‘Company’ dialogue

Subdialogue ‘Rollforward LCF’

The subdialogue Rollforward LCF can be opened from the LCF dialogue:[ ]. This subdia-

logue displays opening balance of the fiscal year per LCF type.

Fig. 101: Subdialogue ‘Rollforward LCF’

Amount prior period

An amount prior period taken from the prior period defined in the GTC is displayed in this column. It serves a

starting point for further calculations.

Adjustments prior period

Adjustments of prior period can result from true-up effects. If a true-up period was created in the GTC, an

adjustment amount calculated on this basis is displayed as a proposed value. This column can also be used for

manual adjustments of the prior period. TRR reconciliation items result from adjustments prior period.

Utilisation / addition current period

The column is linked to the tax detail dialogues and cannot be edited.


Utilisation Addition

Inland [German tax

law]

Dialogue ‘Current Taxes’

Corporate tax:

row 43.2 [column ‘Total’]

Local income tax:

row 38.2 [column ‘Total’]


Corporate tax:

row 28 [column ‘Total’]

Local income tax:

row 37 [column ‘Total’]

Foreign countries


Corporate tax:

row 12 [column ‘Corporate Tax’]

Local income tax:

row 12 [column ‘Local Tax’]


Corporate tax:

row 13 [column ‘Corporate Tax’]

Local income tax:

row 13 [column ‘Local Tax’]

Table 12: Utilisation / Addition current period

No proposed values are displayed for the members of tax group. Utilisation and addition of LCF is carried out

on the parent company level.

Expiry and other adjustments current period

This column can be used for manual entry of adjustments for the current business year [the cell where the tax

law provides expiry of tax LCF].

Current period

The current period value is calculated automatically. The value in the LCF dialogue per type of loss is forwarded

to the Gross Amount column [row unlimited].

Theoretical background: ‘LCF’ dialogue tips Deferred taxes in accordance with IAS 12 are recognised only when the requirements IAS 12.24 and IAS 12.34

are fulfilled. Recoverability check must be carried out for every balance sheet due date.

When checking recoverability of LCF according to IAS 12 it is necessary to distinguish between Loses without

recognition of deferred taxes and Recoverability. Loses without recognition of deferred taxes are considered

only if there are LCF in the reporting period. A reassessment is carried out if LCF that come with the deferred

tax are classified as non-recoverable.

The situation is different for US GAAP [SFAS 109]: deferred tax assets are recognised on LCF and reassessment

is carried out only in a second step. This also applies to LCF that appear in the current period. Both approaches

can be realised in the GTC.

Loses without recognition of deferred taxes

This criterion is applied to LCF that arise in the current reporting period. The assessment whether deferred

taxes should be calculated for such losses has to be carried out in the year of their appearance.


Example 1 – loss is not recoverable

A company has a tax loss of €12,500,000 in the reporting period. The applied corporate tax rate [incl. Solidarity

tax] amounts to 15.825%.

Fig. 102: Example 1 – Loses without recognition of deferred taxes – ‘Current Taxes’ dialogue

Due to a negative budgeting the LCF should not be subject to deferred tax assets. No entries in the columns

short term usable and long term usable:

Fig. 103: Example 1 – Loses without recognition of deferred taxes –‘LCF’ dialogue

As a result, the Summary dialogue is not affected. In the TRR dialogue there is a reconciliation effect resulting

from loses without recognition of deferred taxes [12,500,000 x 15,825 % = 1,978,125.00]. The TRR effect is

also displayed in the Local GAAP [1] and IFRS columns [3] [rows: Effect from tax losses current year]:

Fig. 104: Example 1 – Loses without recognition of deferred taxes – ‘TRR’ dialogue

The same original data – due to budgeting €10,000,000 from the resulting loss [€12,500,000] can be used

further and therefore are a subject to deferred tax:

Fig. 105: Example 2 – Loses without recognition of deferred taxes – LCF


In the Summary dialogue the deferred taxes for LCF are displayed separately. In the TRR dialogue a TRR

effect results from loses without recognition of deferred taxes: €2,500,ooo [2,500,000 x 15,825 % =

395,625.00]:

Fig. 106: Example 2 – Loses without recognition of deferred taxes – ‘TRR’ dialogue

If a LCF is fully recoverable, there is no TRR reconciliation item.

Valuation allowance of deferred tax assets

Valuation allowance applies to deferred tax assets [acc. to IAS 12] that appeared in the previous reporting

periods. Valuation allowance for losses in the current period are not considered here [unlike US GAAP].

5.3.4 Other disclosures Input options for other deferred taxes

The Other Disclosures dialogue offers the possibility to calculate deferred taxes outside B/S Comparison and

LCF dialogues. The dialogue is divided into table areas described below; it can be partially configured to suit

the needs of your company:

Fig. 107: Dialogue ‘Other Disclosures’


Adjustments related to other periods [TRR disclosure]

It is necessary to take into account deferred taxes from other periods for the purposes of TRR. There is a dis-

tinction between effects from B/S Comparison and LCF. If true-up periods are used in the GTC [described

separately] the system automatically provides a proposed value.

Entries produce a TRR effect in the TRR row deferred taxes. Deferred taxes in Summary remain unchanged.

Valuation allowances on other deferred taxes

For valuation allowances on other deferred taxes enter a tax [value] not a tax base. The corresponding P/L

statement effect or value movement can be represented as OCI using ‘Thereof’ rows. The entries appear in the

Summary [displayed in the table area Deferred taxes [current period]]. Deferred taxes attributable to LCF are

revalued directly in the LCF dialogue. Entries are also displayed in the Report DT dialogue.

Other deferred taxes [country-specific position] [P&L]

Entries appear in the Summary [displayed in the table area Deferred taxes [current period]]. Foreign compa-

nies can enter their further current or deferred taxes here. In addition, this area can be used to enter other

relevant issues; they are displayed in the Report DT dialogue.

Other, Prior year adjustments - OCI

Entries appear in the Summary [displayed in the table area Deferred taxes summary in the Adjustment of

prior periods column]. Deferred taxes from previous years can be corrected. The corresponding value move-

ment is displayed in OCI.

Adjustments GTC DT opening balances

Entries appear in the Summary [displayed in the table area Deferred taxes summary in the Adjustment of

prior periods column]. Deferred taxes from previous years can be corrected.

Always adjust previous year values if there is a difference between opening balance sheet of the current year

and annual balance sheet of the previous year. This can happen if manual postings in the previous year have

been changed on the reporting data level but not taken into account in the GTC.

5.3.5 Summary Functionality of ‘Summary’ dialogue

The Summary dialogue summarises calculated deferred taxes and can be used as a posting template. Here you

can view both stocks and value movements [P/L and OCI]. Current taxes are not included into this dialogue.

The dialogue consists of three table sections:

Deferred taxes summary

Comprehensive Income

Deferred taxes [current period]

Deferred taxes [prior period]

Table section ‘Deferred taxes summary’

The upper table section consists of the following six columns:


Column Data Origin / Explanation

[1] Current period Data origin can be viewed in details in the ‘Deferred taxes [current

period]’ table section [bottom row: Total]

[2] Additions and disposals

Data origin: ‘Others’ dialogue

Area: change in consolidation

[3] Adjustment of prior period


Areas: Others, Prior year adjustments –OCI and Adjustment of prior

year

[4] Prior period Data origin can be viewed in details in the ‘Deferred taxes [prior pe-

riod]’ table section [bottom row: Total]

[5] Change Difference between prior period [5] and current period [1] – incl. cor-

rections

Table 13: Columns of the ‘Deferred Taxes Summary’

Fig. 108: Deferred Taxes Summary


Table section ‘Comprehensive Income’

Some categories of Comprehensive Income are created and managed in the master data dialogue Admin-

istration. According to the selected assignment in the master data dialogue CoA Group, the GTC assigns OCI

effects to individual categories. The result is displayed in a separate section of the Summary dialogue:

Fig. 109: Comprehensive Income

Table section ‘Deferred taxes [current period]/ Deferred taxes [prior period]’

This table section displays the summary of deferred taxes based on a dialogue [e.g. LCF dialogue] and a sub-

dialogue [e.g. IFRS – Local GAAP in B/S Comparison].


Column Data Origin / Explanation

Total deferred tax assets and lia-

bilities from B/S Comparison -

Netting

Netting of effects that [‘IFRS – Local GAAP’ and ‘Local GAAP – Tax

balance’] are calculated on the same account position across periods.

Not to be confused with across-period offsetting of current and de-

ferred taxes.

Valuation allowance on deferred

tax assets [tax losses / tax credits]

Valuation allowance from the ‘LCF’ dialogue. Not to be confused with

valuation allowance of current taxes from ‘B/S Comparison’.

Other deferred tax assets and lia-

bilities


Area: change in consolidation

Valuation allowance on other de-

ferred taxes


Areas: Valuation allowance on other deferred taxes

Calculation of valuation allowance on the overhang of deferred taxes

from ‘B/S Comparison’.

Offsetting

Offsetting of deferred taxes, taking into account the maturity. Long-

term deferred tax assets are set off with long-term passive deferred

taxes.

Table 14: Columns of the ‘Deferred taxes [current period]’

Fig. 110: Deferred taxes of the current period


Deferred taxes: additions and disposals In the master data dialogue Company you can activate the Deliver deferred taxes checkbox. In this case addi-

tions and disposals of deferred taxes are displayed in the Summary dialogue. This is relevant for local GAAP

periods related to members of tax groups [formal approach].

The following summary is displayed in the company level [member of tax group]:

Fig. 111: Deferred taxes summary – Transferred deferred taxes

Transferred deferred taxes for parent companies are displayed as follows. The milestone status of the company

that delivers taxes is documented as well:

Fig. 112: Deferred taxes summary – Received deferred taxes

5.3.6 Tax rate reconciliation [TRR] Preliminary notes to TRR

Technical remarks

Tax rate reconciliation [TRR] is in accordance with IAS 12.81 [c] required disclosure which illustrates relation-

ship between tax expense [tax revenue] in accordance with P/L statement and tax balance result before taxes.

Using the reconciling items Quotentreiber are disclosed and tax rate is deduced. Tax rate is a key indicator of

tax accounting.

The starting point of the TRR is the product from the tax balance result before taxes and applied tax rate. The

following tax rates are regarded, acc. to IAS 12.85:

[1] national tax rate in a country where a parent company is based

[2] for companies that operate in several tax law circles; a combined tax rate

Although the first variant [1] is far more common, the GTC supports both variants. If you want to use a com-

bined tax rate, create a dummy corporation with an average tax rate as a parent company.

The structure of TRR is not stated in the IAS 12. The GTC uses the most frequently used TRR positions.


Data origin TRR columns

The ‘TRR’ dialogue consists of the following three [four] columns:

Column:

Local GAAP Late Adjustments

[optional]

Adjustment

IFRS

IFRS

Content

Calculation of ex-

pected income tax

expense based on

tax balance result

before taxes acc. to

local GAAP

Deferred taxes are

not considered in

the output value of

tax expense acc. to

P/L statement; they

represent a TRR

item

Calculation of ex-

pected income tax

expense based on tax

balance result before

taxes acc. to local

GAAP [for late ad-

justments to current

taxes]

Calculation of ex-

pected income

tax expense

based on tax bal-

ance result before

taxes [for IFRS

result adjust-

ment]

Calculation of ex-

pected income tax

expense based on

tax balance result

before taxes acc.

to IFRS

Sum from prior

columns

Display

The column is al-

ways displayed

The column is dis-

played only if the

calculation of cur-

rent taxes from

late adjustments is

activated in the

master data dia-

logue ‘Toolbox’

The column is

always dis-

played

The column is

always dis-

played

Data Origin

‘Current Taxes’ di-

alogue

‘Current Taxes’ di-

alogue [when us-

ing Toolbox, for

foreign companies]

rows 19.1-19.13

Dialogue:

B/S Comparison

LCF

Others

Summary

Sum from prior

columns

Table 15: TRR columns

Difference: Germany / other countries

Depending on whether it is a German company [German tax law] or a company from other country [toolbox],

the selected rows are displayed or hidden. This will be explained in the next chapter. The dialogue TRR in the

main area [Sub-]Group offers an overview of all TRR items.


TRR tooltips

TRR items displayed in the TRR dialogue have tooltips [ ]. Click on a green square to view the explanation

to a TRR item. It displays the dialogue of origin, the relevant row and the tax base.

Fig. 113: Tooltip in the ‘TRR’ dialogue

Click on to switch to the origin dialogue.

Validation: P/L and tax expense/profit and calculated tax expense/earnings

TRR is validated directly in the dialogue header and any potential differences are displayed here. It is checked,

whether TRR items explain the difference between effective income tax expense [original + deferred taxes] and

expected income tax expenses [EBT x company tax rate].

Fig. 114: TRR validation

TRR item Other tax can amount to max. 5% of the expected income tax expenses. If this amount is exceeded,

a yellow warning triangle with an exclamation mark appears and user has to add a comment. Otherwise, the

status of the Deferred taxes milestone cannot be changed to data ok. The 5% rule is not fixed in the IAS 12; it

has been taken from the earlier US GAAP regulation and is widely used.

Tips for validation errors Creation of a TRR in tax accounting belongs to one of the most time-consuming activities. The GTC facilitates

the process significantly. However, there are certain requirements that have to be fulfilled for the highest pos-

sible degree of automation. The following points should be considered in case of validation errors:

Allocation of tax balance sheet corrections in tax calculation

Balance sheet differences local GAAP / tax comparison do not correspond tax balance sheet corrections

Rollforward LCF has not been performed

Changes in balance sheet differences IFRS / Local GAAP do not correspond the IFRS / Local GAAP result

difference


Allocation of tax balance sheet corrections in tax calculation

In the B/S Comparison dialogue there is a local GAAP / tax balance deviation of 100,000. Thereof 60,000 –

temporary and 40,000 – permanent. Tax rate is 30%:

Fig. 115: Allocation of tax balance sheet corrections in tax calculation – ‘B/S Comparison’ dialogue

Proposed values for tax profit are displayed for tax calculation purposes [Current Taxes dialogue]:

Fig. 116: Allocation of tax balance sheet corrections in tax calculation – ‘Current Taxes’ dialogue

The taxable income of 100,000 has a 20% tax rate, which results in 20, 000 taxes. Deferred tax assets amount

to -12,000 [60,000 temporary difference x 20%]. The TRR:

Fig. 117: Allocation of tax balance sheet corrections in tax calculation – ‘TRR’ dialogue

There is only one IFRS-TRR item resulting from permanent balance sheet difference:



If the allocation of the tax balance sheet corrections in the Current Taxes dialogue differs from the proposed

value, this results in the same taxable income [100,000]:

Fig. 119: Allocation of tax balance sheet corrections in tax calculation – ‘Current Taxes’ dialogue

The TRR validation fails because of wrong allocation of tax balance sheet corrections:



Balance sheet differences Local GAAP / Tax Balance do not correspond to local tax balance

sheet corrections

In the B/S Comparison dialogue there is a Correction to local tax balance of 100,000 classified as temporary.

The tax rate is 20%:

Fig. 122: Balance sheet differences Local GAAP / Tax Balance do not correspond to local tax balance sheet corrections – ‘B/S Compari-son’ dialogue


For purposes of tax calculation a proposed value is displayed for the tax profit differences [Current Taxes dia-

logue]. The proposed value can be viewed in the Local GAAP – Tax Comparison report [

/ main dialogue Reports / dialogue Tax Reports]:

Fig. 123: Balance sheet differences Local GAAP / Tax Balance do not correspond to local tax balance sheet corrections – ‘Current Taxes’ dialogue

The taxable income amounts to 100,000 and results in 20,000 taxes with the tax rate of 20%. Deferred tax

assets amount to -20,000 [100,000 temporary difference x 20%]. There are no TRR items in the TRR dialogue:

Fig. 124: Balance sheet differences Local GAAP / Tax Balance do not correspond to local tax balance sheet corrections – ‘TRR’ dia-logue

If the calculated tax balance sheet correction differs from the proposed value in the Current Taxes dialogue,

this may arise from the non-considered in the GTC data in the previous year tax return [true-up]. In this case

another correction amount has to be entered for tax calculation:

Fig. 125: Balance sheet differences Local GAAP / Tax Balance do not correspond to local tax balance sheet corrections – ‘Current Taxes’ dialogue


The TRR validation fails, because the tax balance sheet correction differs from the proposed value:


The reason for this is that the deferred taxes [P/L statement effect, here 20,000] are calculated based on the

balance sheet comparison. If the resulting proposed value is not accepted in the Current Taxes dialogue, the

TRR validation fails.

Creation of a true-up effect in the Others dialogue solves the problem: -30,000 x 20% = -6,000. The true-up

effect is explained in a separate chapter and can be calculated in the GTC automatically. Then the proposed

value is displayed:

Fig. 127: Balance sheet differences Local GAAP / Tax Balance do not correspond to local tax balance sheet corrections – ‘Others’ dia-logue

A prior-period effect from the adjustment in the previous year results in TRR items in the Deferred taxes re-

lated to other periods row. The validation is successful:



Balance sheet differences IFRS / Local GAAP do not correspond to IFRS / Local GAAP result

difference

In the B/S Comparison dialogue there is a difference of 100,000 between IFRS and local GAAP. The difference

is temporary:

Fig. 129: Balance sheet differences IFRS / Local GAAP do not correspond to IFRS / Local GAAP result difference – ‘B/S Comparison’ dialogue

If the tax rate amounts to 20%, deferred taxes are 20,000. IFRS-EBT is 100,000 because of the balance sheet

deviation. The validation is successful:

Fig. 130: Balance sheet differences IFRS / Local GAAP do not correspond to IFRS / Local GAAP result difference – ‘TRR’ dialogue

If a deviating IFRS-EBT is detected, the TRR multiplied by the amount of difference does not equal the tax

rate. Effect on earnings is traceable in this simple case. In real life it is not always evident whether asset differ-

ences between local GAAP and IFRS [documented in the GTC] have the right impact on earnings. The report


‘Transition P&L results local GAAP / IFRS’ [ ] is helpful here. The

report shows whether the adjustments of balance sheet differences correspond to result differences:

Fig. 131: Report ‘Transition P&L results local GAAP / IFRS’

5.3.7 Reports in ‘Company’ dialogue Report DT

Report DT displays all deferred taxes calculated in the B/S Comparison and LCF dialogues. In addition, de-

ferred taxes from the Others dialogue are also taken into account. The report DT distinguishes the maturity of

individual account positions and can be used as disclosure acc. to IAS 1.61 / 12.81g.

The structure of the [shortened] balance sheet in the Report DT depends on the settings in the master data

dialogue CoA Group. Only [superior] account positions where the Disclosed major class of deferred tax is

activated are displayed in the report DT. An incorrect configuration can result in differences between deferred

taxes in the Report DT and Summary dialogues.

All subdialogues from the B/S Comparison dialogue are scanned for deferred taxes [also e.g. eventually avail-

able supplementary tax balance sheets]. The row Other country-specific positions is taken from the Others

dialogue. The same applies to the row Reassessment.

Fig. 132: Dialogue ‘Report DT’


The Report DT coordinates with Summary:

Fig. 133: Coordination of ‘Report DT’ and ‘Summary’

It must be pointed out that the Report DT dialogue does not contain received deferred taxes [e.g. tax groups].

It displays only the deferred taxes of the selected company.

Report DT [LCF] The Report DT [LCF] displays all deferred taxes calculated in the LCF dialogue and provides an overview. The

report can be used as disclosure acc. to IAS 12.81e. Reassessments of deferred tax assets from LCF are also

displayed here [IAS 12.80g].

Fig. 134: Dialogue ‘Report DT [LCF]’


The Report DT [LCF] coordinates with Summary:

Fig. 135: Coordination of ‘Report DT [LCF]’ and ‘Summary’

It must be pointed out that the Report DT [LCF] dialogue does not contain received deferred taxes [e.g. tax

groups]. It displays only the deferred taxes of the selected company.

Report TRR Report TRR displays a summary of tax rate reconciliations calculated in the ‘TRR’ dialogue for an annual re-

port. The report can be used as disclosure acc. to IAS 12.81c.; no fixed TRR structure is predefined by standard

setter.

The dialogue contains both permitted modes of representation:

A TRR between tax expense [tax effort] and expected income tax expense [IAS 12.81c i]

A TRR between the average effective tax rate and applicable tax rate [IAS 12.81c ii]

Fig. 136: Dialogue ‘Report TRR’

AMANA consulting Company – Calculation current taxes [foreign countries] Seite 109 | 125

5.4 Calculation current taxes [foreign countries]

5.4.1 Taxable income Tax calculation for foreign companies is performed in the Current Taxes dialogue. Unlike German companies,

income calculation is carried out without using tax detail dialogues. The structure of the Current Taxes dia-

logue is configured individually for every country in Master Data [dialogue Toolbox]; and described separately.

Usually during income calculation only the corporate income tax is taken into account:

Fig. 137: Structure of the ‘Current Taxes’ dialogue for foreign companies

If the checkbox Local tax column in Toolbox is activated in the master data dialogue Company [

], this local tax column is considered during the income calcula-

tion. Thus, different tax bases can be used for these tax types:

Fig. 138: Structure of the ‘Current Taxes’ dialogue for foreign companies [incl. local tax]

In addition, it is possible to add a comment for every line.

Initial value: Profit before tax

Income calculation starts with profit before tax calculated acc. to local commercial law [not profit before tax

acc. to IFRS]. Afterwards inner balance sheet and off-balance sheet corrections are considered.

Inner balance sheet corrections [Surplus-/ Deficient result]

Row 2 displays surplus-/ deficient result and thereof temporary and permanent differences:

Fig. 139: Surplus-/ Deficient result

Proposed values are taken from the B/S Comparison dialogue [subdialogue Local GAAP – Tax Balance]. Based

on the prior period [which is determined when creating a period] the GTC calculates the changed differences

between local balance and local tax balance sheet. In addition, the changes of temporary and permanent dif-

ferences in B/S Comparison are taken into account.

Proposed values [thereof temporary differences; thereof permanent differences] per account position can be

traced using the report Local GAAP – Tax comparison [ ].

AMANA consulting Company – Calculation current taxes [foreign countries] Seite 110 | 125

Off-balance sheet corrections

Off-balance sheet corrections are entered by the user [there is also the possibility of an automated import of

e.g. Excel tax calculation sheets]. Rows available in the dialogue are selected during the Toolbox configuration.

In addition to off-balance sheet corrections non-period taxes and eventual LCF can be considered. These two

issues are described in separate chapters.

Used tax rates

Taxable income is multiplied by a tax rate [determined in Master Data] for purposes of corporate tax rate. Tax

rate of local income tax is used for calculation of local tax.

Fig. 140: Tax rates saved in ‘Master Data’ relevant for the ‘Current Taxes’ dialogue

For TRR purposes: individual off-balance sheet corrections in the Corporate Tax Rate column are considered

issue-related in TRR [e.g. tax-free dividends or non-deductible expenses]. Off-balance sheet corrections for

purposes of local income tax are processed in the TRR row Local tax [only foreign countries] in total.

Special circumstances

Further special circumstances such as e.g. withholding tax or current taxes OCI and equity can be added at the

end of the dialogue.

5.4.2 Utilisation/addition loss carry forward Utilisation/addition tax loss carry forward is carried out in the toolbox rows 12 and 13 and for purposes of

deferred taxes calculation linked to the LCF dialogue.

Scenario: addition to loss carry forward

If the income calculation results in a tax loss, the row 13 [Taxable income for corporate/local tax] is relevant

for addition to loss carry forward:

Fig. 141: Loss carry forward in the ‘Current Taxes’ dialogue

AMANA consulting Company – Validation Seite 111 | 125

The calculated LCF is linked to the Rollforward LCF subdialogue in the LCF dialogue:

Fig. 142: Loss carry forward in the ‘Rollforward LCF’ subdialogue

Scenario: utilisation of loss carry forward

If the income calculation results in a tax profit and at the same time there are tax LCFs, enter the info into the

row 12.1 [Utilization of Tax Loss Carry Forward]. Utilisation of loss is also taken into account in the LCF dia-

logue.

Taking into account corporate tax rate and local tax

If the Local tax column in Toolbox option is activated in the Master Data, the corresponding addition/utilisa-

tion of LCF is taken into account in terms of local income tax [in the LCF dialogue: Tax losses carry forward

local tax].

5.4.3 Current taxes and other income taxes relating to other

periods Current taxes and other income taxes relating to other periods are not calculated in the GTC, only saved [rows

25ff. in the Current Taxes dialogue]. The entries result in corresponding TRRs in the TRR dialogue.

5.5 Validation The Validation dialogue allows you to compare the taxes posted in the ERP system with the current and de-

ferred taxes calculated in the GTC [items can be determined by the user]. For this purpose, a configured import

file is uploaded to the GTC.

Figure 29: Validation dialogue

Figure 30: Result of import in the Validation dialogue

AMANA consulting Company – Comments Seite 112 | 125

In addition to this type of validation, there are numerous other variants. For more information please contact

AMANA, since this function is customer-specific and should be integrated into the existing system landscape.

5.6 Comments Comments can be created in the Comments dialogue or directly in detail dialogues [where possible].

Fig. 143: Create a comment in the ‘GewSt 1 A’ dialogue

In addition to creating comments using the Create comment button [see fig. above], it is possible to create a

comment directly for the selected row. To do so, right click the corresponding row and the function Create

comment appears.

Fig. 144: Create a comment for the selected row

When creating a comment, you can enter a certain amount, a comment in a free text field and add attachments

[e.g. a PDF file]:

Fig. 145: Create a comment - subdialogue

AMANA consulting Company – Comments Seite 113 | 125

Comments to rows are indicated by a yellow note [ ]. In addition, the Comments dialogue offers an overview

of all created comments:

Fig. 146: Comments and attachments in the ‘Comment’ dialogue

Add Excel attachment

The GTC offers the possibility to upload a previously defined value from an Excel file directly to the tool [more

precisely: to the commented row]. To do this, add the name ‘GTC’ for the relevant cell using the Define Name

function:

Fig. 147: Define names for Excel import

When creating a comment activate the Amount from excel-attachment checkbox. After saving the comment

activate the checkbox in the Get Data column and click on the [ ] button:

Fig. 148: Save data in the ‘Comment’ dialogue

AMANA consulting Company – Snapshots – historisation of processing states Seite 114 | 125

After that the value will be highlighted in green and the corresponding GTC row imported:

.

5.7 Snapshots – historisation of processing states

5.7.1 Create snapshot Aim of snapshots

Snapshots are used to create different processing states within a period [freeze] and call them up again if re-

quired. The functionality makes it possible to run simulated computations [what if…]. Data status is backed up

in the following dialogues:

B/S Comparison

LCF

TB Transfer

Current Taxes [incl. form dialogues and Local GAAP – Tax Balance dialogue]

Create new snapshot

Snapshots are managed in the Snapshots dialogue. Every processing state needs to have a description [once

created it cannot be changed]. A new snapshot is created by clicking the [ ] button, this is confirmed in

the dialogue header:

Fig. 149: Create a new snapshot

A table containing all existing snapshots can be viewed in the Snapshots dialogue. Every snapshot has an ID.

A click on the recycle bin deletes the frozen processing state; it cannot be restored.

Fig. 150: Overview of created snapshots


Click on the magnifying glass symbol [ ] to open a new subdialogue where the processing state of the

selected snapshot can be viewed. Select the dialogues to be displayed and click the Show button – the dialogues

will be opened in a read mode in a new tab of your browser.

Fig. 151: Show processing state of individual dialogues

5.7.2 Restore a snapshot Restore a snapshot for a company

Click on the recycling symbol [ ] to restore the processing state of the selected snapshot. Before overwriting

data of tax calculation by the snapshot data the user needs to confirm a security query:

Fig. 152: Security query when restoring a snapshot


The successful overwriting of data is confirmed in the dialogue header:

Fig. 153: The snapshot was restored successfully

Use a snapshot of a member of tax group for the TB Transfer

In the Relevant for subsequent/superior calculation? column the user can select a snapshot that should be

used, for example, by a parent company. The snapshot can be selected only provided that the milestone Current

Taxes does not have the finished status. To select a snapshot you have to confirm the security query that pops

up.

Fig. 154: Snapshot is relevant for subsequent/superior calculation

Data transfer for tax calculation purposes is marked by a camera symbol in the TB Transfer dialogue of the

parent company. A tooltip with further information is displayed on a mouseover:

Fig. 155: Dialogue ‘TB Transfer’ after restoring a snapshot for a subcompany

AMANA consulting Reports – Tax reports Seite 117 | 125

6. Reports

6.1 Tax reports Various [predefined] reports can be opened from the Tax Reports dialogue. The selected report is opened in

an Excel file and can be partially configured by the user [e.g. period to compare or FX code].

Parameters to be set

Every report is based on the selected parameters. Individual settings can be made in the dialogue header; they

are described further.

Fig. 156: Parameters for Tax Reports

Parameter Description

Applies to period The period must be specified; defines the period under consideration

Company

The company must be specified. Depending on the ‘Display [ ]’ parame-ter, e.g. a tax group or a subgroup is evaluated. In addition, parameter ‘FX

Code [ ]’ is also relevant for the selected company.

Country One or several countries can be selected here. The dropdown list content is

determined by the period selected above.

Business Unit

[or Reporting Dimension]

One or several reporting dimensions can be selected here. The dropdown list content is determined by the period selected above or the content of the ‘Reporting Dimension’ dialogue.


Period to compare [ ]

The dropdown list ‘Period to compare’ contains all periods created in the GTC. Prior period defined for the selected period is automatically proposed as a period to compare [so-called standard selection]. However, any other period can be selected. Period to compare must be selected for reports of the balance development category.

FX Code [ ]

In own currency

Report uses the currency of the selected company.

If the ‘group structure’ is selected in the ‘Display’ parameter and the com-pany is a company from the USA [classified as a subgroup], all companies that belong to this group, e.g. also Canadian or South American have USD as their currency.

In group currency

Report uses the currency of the company defined as the parent company of the group [EUR] – independently of selected company.

If the ‘group structure’ is selected in the ‘Display’ parameter and the com-pany is a company from the USA [classified as a subgroup], all companies that belong to this group, e.g. also Canadian or South American have EUR as their currency.

In local currency

Report uses local currency defined in the ‘Master Data’. Currency is not converted.

If the ‘group structure’ is selected in the ‘Display’ parameter and the com-pany is a company from the USA [classified as a subgroup], all companies that belong to this group, e.g. Canadian or South American still have their local currency.

Display [ ]

This parameter is relevant only for those companies for which the user is authorised.

Company

Only the selected company is displayed in the report.

List

All companies created in the ‘Master Data’ are displayed in the report. The content of the dropdown list is determined by the period selected above. If, in addition, a country or a reporting dimension is selected [depending on scope of individual reports], there is a further restriction of the generated report.

Group structure

All companies belonging to a group are displayed. This selection parameter is available for those companies that are defined as ‘[sub-]group’ in the ‘Master Data’. When selecting this display option select a company that is defined as a [sub-]group.

Tax group structure

All tax groups are displayed. . This selection parameter is available for those companies that are defined as ‘parent company’ in the ‘Master Data’. When selecting this display option select a company that is defined as a parent company.


Columns / Rows [ ] This parameter determines the order of the generated Excel reports. Com-

panies [values] can be displayed in columns or rows.

Table 16: Parameter for Tax Reports

Select list Reports

Column ‘Favourites’

Report list can be sorted by columns [e.g. favourites or data origin]. Frequently used reports can be marked as

favourites [click on a star symbol]:

Fig. 157: Create and sort favourites in Tax Reports

Columns ‘Data Origin’ and parameter settings

Report list can be divided into the following areas [‘Data Origin’ column]:

1. Balance Development [e.g. Local GAAP – Tax comparison]

2. ERiC Transfer [e.g. ERiC delivery status]

3. Deferred Taxes [e.g. Rollforward deferred taxes]

4. Others [e.g. Comments]

5. Master Data [e.g. Countries master data]

6. Current Taxes [e.g. dialogue § 8b KStG]

7. Technical Details [e.g. Database table of current tax calculation]

8. TRR [e.g. Translation P&L results local GAAP/IFRS]

Depending on the data origin certain parameters/attributes must be specified. Settings made by the user are

marked by green ticks per report. For the Translation P&L results local GAAP/IFRS report it is necessary to


specify the period to compare [a green star]. Other parameters are irrelevant, e.g. FX Code does not affect the

report.

Fig. 158: Required parameters per report

Column ‘Scope’

Every report is based on a scope/viewpoint. The scope provides possible restrictions regarding the relevant

companies:

Scope Description

Company Report cannot be restricted with respect to the ‘Display’ parameter. Only

the data for the company selected in the ‘Company’ dropdown menu is dis-played.

[Sub-]Group Report can be restricted by selecting a classified as a [sub-]group company

[with the corresponding ‘Display’ option ‘Group Structure’].

Tax Group Structure Report can be restricted by selecting a classified as a parent company [with

the corresponding ‘Display’ option ‘Tax Group Structure’].

Country Report can be restricted by selecting one or several countries [with the cor-

responding ‘Display’ option ‘List’].

Reporting Dimension Report can be restricted by selecting one or several reporting dimensions

[with the corresponding ‘Display’ option ‘List’].

Table 17: Scope of Tax Reports

Button ‘Show/hide columns’

Using the [ ] button, the technical report IDs can be displayed in a separate column.

Fig. 159: Column ‘ID’ of Tax Reports

AMANA consulting Reports – Reports B/S Comparison Seite 121 | 125

Since report names in the GTC are revised and standardised, you can view additional column Name [alt]. This

column helps the user to find the report under its original name.

Generate report

Reports are generated with a click on the Excel symbol. After that the report can be saved locally or opened.

The report runtime varies according to the configuration of individual parameters and depends on the hard-

ware used by the GTC server.

6.2 Reports B/S Comparison A preconfigured evaluation of a company is possible in the Reports B/S Comparison dialogue. First select the

period and company in the dialogue header. The report is based on the B/S Comparison dialogue [main dia-

logue Company] and can be viewed as an Excel file.

Fig. 160: Reports B/S Comparison

Individual balance sheet levels can be viewed selectively [e.g. Local GAAP – Tax Balance or IFRS – Tax Bal-

ance]. Using the available checkboxes, additional parameters [columns] can be shown [see the figure below]:

Gross differences

Gross differences from the prior period

Change of gross differences

Adjustment for deferred taxes

Adjustment for deferred taxes [prior period]

AMANA consulting Reports – Reports Questionnaire [Own Reports] Seite 122 | 125

Fog. 161: Reports B/S Comparison – Adjustment for deferred taxes

6.3 Reports Questionnaire [Own Reports] In the Reports Questionnaire dialogue [in the GTC system without the main dialogue Questionnaire, this is

the Own Reports dialogue] users can create individual reports for data analysis [e.g. for KPI analysis, disclo-

sures].

This function exists to ensure the analysability of the existing GTC data independently of the reports predefined

in the tool. Both calculation logic and the design of a report can be defined individually, using the templates.

Figure 31: “Reports Questionnaire” dialogue

Individual report creation process is described in a separate document. If you are interested in creating your

own report, please contact AMANA.

AMANA consulting Reports – Differences Seite 123 | 125

6.4 Differences A user-configurable evaluation of deferred taxes is possible in the Differences dialogue [report]. The report is

based on the B/S Comparison dialogue [main dialogue Company] and can be viewed as an Excel file. In addi-

tion to deferred taxes the corresponding gross differences are displayed here.

Parameters to be set

The report is based on the selected parameters. Individual settings can be made in the dialogue header; they

are described further. Having configured the parameters, click on the Show button [ ].

Fig. 162: Parameters for report ‘Differences‘

Parameter Description

Applies to period The period must be specified; defines the period under consideration

Company The company must be specified. Depending on the selected ‘Structure’ pa-

rameter, e.g. a tax group or a subgroup is evaluated here.

Balance type Balance type defines the level of the considered balance sheet differences.

It can be determined whether, for e.g. IFRS – Tax balance or Local GAAP – Tax Balance should be included in the analysis.

CoA Company By selecting an account position the number of considered differences can

be limited [optionally] by another parameter.

Show as from In this entry field you can [optionally] set a limit for the displayed differ-

ences. In this case, account positions that have their balance sheet differ-ences under the defined limit are not shown in the report.

Country You can [optionally] select a country here. The content of the dropdown list

is determined by ‘Countries’ dialogue of the period selected above.

Reporting Dimension You can [optionally] select a reporting dimension here. The content of the

dropdown list is determined by the ‘Reporting Dimension’ dialogue of the period selected above.

Period to compare The dropdown list ‘Period to compare’ contains all periods created in the

GTC. This entry is optional.

Structure

There are five display options. This parameter is relevant only for those companies for which the user is authorised.

Company

Only the selected company is displayed in the report.

AMANA consulting Reports – Differences Seite 124 | 125

List

All companies created in the ‘Master Data’ are displayed in the report. The content of the dropdown list is determined by the period selected above.

Group structure

This selection parameter is available for those companies that are defined as ‘[sub-]group’ in the ‘Master Data’. When selecting this structure option select a company that is defined as a [sub-]group.

Tax group structure

This selection parameter is available for those companies that are defined as ‘parent company’ in the ‘Master Data’. When selecting this display op-tion select a company that is defined as a parent company.

Tax group structure + partnerships

See description of a tax group structure.

Table 18: Parameter for report ‘Differences’

Other parameters [Show unit sum / Details] allow additional limitations of the generated report.

AMANA consulting Reports – Tax expense Seite 125 | 125

6.5 Tax expense The Tax Expense dialogue provides an overview of calculated deferred and current taxes [for a selected com-

pany]. In addition, there is the possibility to enter other taxes manually:

Fig. 163: Dialogue ‘Tax Expense’

In the right upper corner of the dialogue header there is the Reporting modus checkbox. If this checkbox is

activated, the income tax for all companies of the selected period will be included in the overview [transposed

view].

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