Net Deferred Tax Liabilities

Calculate the Net Deferred Tax Liabilities instantly.

#	Tax Group	DTL (EUR)	DTA (EUR)	Offset Allowed	Recoverability Evidence
1	Tax group row 1	Deferred tax liabilities row 1€	Deferred tax assets row 1€	Offset allowed row 1	Recoverability evidence row 1
2	Tax group row 2	Deferred tax liabilities row 2€	Deferred tax assets row 2€	Offset allowed row 2	Recoverability evidence row 2
3	Tax group row 3	Deferred tax liabilities row 3€	Deferred tax assets row 3€	Offset allowed row 3	Recoverability evidence row 3

Offsettable DTA

€9 000 000

Deferred Tax Assets

€12 000 000

−

DTA Blocked by Gates

€3 000 000

Net Deferred Tax Liabilities

€14 000 000

Sum of Floored Group Net DTL

€14 000 000

Total Net Deferred Tax Assets

€3 000 000

Sum of Group Net DTA

€3 000 000

Tax Group	DTL	DTA	Offset Allowed	Recoverability Evidence	Offsettable DTA	Group Net DTL	Group Net DTA
France - Subsidiary A	€12 000 000	€4 000 000	Yes	Yes	€4 000 000	€8 000 000	€0
Germany - Branch B	€2 000 000	€5 000 000	Yes	Yes	€5 000 000	€0	€3 000 000
Spain - Subsidiary C	€6 000 000	€3 000 000	No	Yes	€0	€6 000 000	€0

1Step 1

Gate deferred tax assets inside each tax group

DTA_{offset,g}=DTA_g\times OffsetAllowed_g\times EvidenceFlag_g

2Step 2

Floor each tax group's net deferred tax liability at zero

NetDTL_g=\max(0,DTL_g-DTA_{offset,g})

3Step 3

Sum floored tax-group liabilities without cross-group netting

NDTL=\sum_g NetDTL_g

4Step 4

Report net deferred tax assets separately for own-funds analysis

NetDTA=\sum_g \max(0,DTA_{offset,g}-DTL_g)

Understand the Net Deferred Tax Liabilities

Overview

This calculator determines Net Deferred Tax Liabilities (NDTL) on a tax-group basis for use as a feeder input to LAC DT recoverable capacity.^[1] It follows the Article 15 deferred-tax valuation basis and preserves the IAS 12.74 restriction that deferred tax assets and liabilities are offset only where a legal right to set off exists within the same tax authority.^[1]^[2]^[3]

Input Terms

Tax Group: Jurisdiction, taxable entity, or tax-authority bucket used for deferred-tax netting.
Deferred Tax Liabilities (DTL): Deferred tax liabilities recognised for the tax group.
Deferred Tax Assets (DTA): Deferred tax assets recognised for the tax group.
Offset Allowed: Flag confirming that DTA and DTL may be offset inside the tax group under IAS 12.74.
Recoverability Evidence: Flag confirming that the DTA is recognised and supported under the Article 15 valuation basis and relevant Article 207 recoverability evidence.

Technical Rationale

The calculator first gates DTA inside each tax group:

```text DTA_offsettable,g = DTA_g x OffsetAllowed_g x EvidenceFlag_g ```

It then floors the group net liability before aggregation:

```text Net_DTL_g = max(0, DTL_g - DTA_offsettable,g) NDTL = sum_g Net_DTL_g ```

This avoids an invalid global netting shortcut. A tax group with net DTA contributes zero to total NDTL, and that net DTA is reported separately rather than reducing net deferred tax liabilities in another jurisdiction.

Important Notes

No cross-group netting: The calculator never computes `max(total DTL - total DTA, 0)`. Each tax group is floored separately before summing.
Offset evidence: The Offset Allowed flag should be enabled only where the DTA and DTL belong to the same tax authority and are legally nettable.^[2]^[3]
Recoverability evidence: The Recoverability Evidence flag should be enabled only where the deferred tax asset is recognised and supported under the relevant Solvency II deferred-tax evidence standard.^[1]^[4]
Downstream use: The primary output feeds the Net Deferred Tax Liabilities input in LAC DT recoverable capacity. The secondary Total Net Deferred Tax Assets output supports own-funds analysis, not LAC DT capacity netting.
Reporting: The displayed result is intended to support the corresponding standard-formula component feeding the S.25.01.01 standard-formula reporting view.^[5]

Sources

Default values are illustrative sample inputs for navigation, training, and QA. Replace them with controlled data before using the result in capital analysis, governance, or reporting decisions.