Income taxes include the taxes on income paid or owed in the individual countries as well as deferred taxes.
€ million |
2020/21 |
2021/22 |
|---|---|---|
Deferred tax expense/income (+/−) |
−72 |
28 |
thereof from temporary differences |
(−67) |
(8) |
thereof from loss and interest carry-forwards |
(−5) |
(20) |
€ million |
2020/21 |
2021/22 |
|---|---|---|
Actual taxes |
157 |
168 |
thereof Germany |
(12) |
(13) |
thereof international |
(145) |
(155) |
thereof tax expenses/income of current period |
(102) |
(171) |
thereof tax expenses/income of previous periods |
(55) |
(−3) |
Deferred taxes |
−72 |
28 |
thereof Germany |
(3) |
(2) |
thereof international |
(−76) |
(26) |
|
85 |
196 |
The income tax rate of the German companies of METRO consists of a corporate income tax of 15.00% plus a 5.50% solidarity surcharge on corporate income tax as well as the trade tax of 14.70% given an average assessment rate of 420.00%. All in all, this results in an aggregate tax rate of 30.53%. The tax rates are unchanged from the previous year. The income tax rates applied to foreign companies are based on the respective laws and regulations of the individual countries and vary within a range of 9.00% (2020/21: 9.00%) and 38.07% (2020/21: 34.94%).
The increase in income tax expenses is attributable to improved results in various countries as well as withholding tax from intra-group dividends.
The utilisation of loss carry-forwards and temporary differences, which were not valued with deferred taxes, led to a reduction of the actual income tax expense of €36 million and is related to property disposals in Japan.
The reversal of an earlier devaluation of deferred taxes resulted in income of €4 million.
Applying the German group tax rate to the reported pre-tax result would result in an income tax expense of €−41 million (2020/21: €12 million). The deviation of €237 million (2020/21: €73 million) from the reported tax expense of €196 million (2020/21: €85 million) can be reconciled as follows:
€ million |
2020/21 |
2021/22 |
|---|---|---|
EBT (earnings before taxes) |
40 |
−134 |
Expected income tax expenses (30.53%) |
12 |
−41 |
Effects of differing national tax rates |
−17 |
−3 |
Tax expenses and income relating to other periods |
55 |
−3 |
Non-deductible business expenses for tax purposes |
20 |
106 |
Effects of not recognised or impaired deferred taxes |
92 |
94 |
Additions and reductions for local taxes |
12 |
14 |
Tax effect on tax free income |
−24 |
−14 |
Other deviations |
−66 |
44 |
Income tax expenses according to the income statement |
85 |
196 |
Group tax rate |
212.6% |
−146.3% |
The item effects of differing national tax rates includes a deferred tax expense of €6 million (2020/21: €3 million) from tax rate changes.
Of previous year’s tax expenses and income relating to otherperiods, €66 million is attributable to the exit from Japan. A correspondingly opposite effect from deferred taxes is recognised in the item other deviations of the previous year with €−66 million. In the current financial year, this item includes non-tax-deductible costs in connection with portfolio adjustments of €28 million (2020/21: €0 million) as well as effects from impairment losses on goodwill of €11 million (2020/21: €0 million).
The non-deductible business expenses of the current year mainly include non-profit-related withholding tax from intra-group dividends in the amount of €59 million (2020/21: €0 million) and additions under the External Tax Relations Act amounting to €21 million (2020/21: €0 million).