Income taxes include the taxes on income paid or owed in the individual countries as well as deferred taxes.
€ million |
2022/23 |
2023/24 |
|---|---|---|
Deferred tax expense/income (+/−) |
82 |
−26 |
thereof from temporary differences |
(75) |
(−42) |
thereof from loss and interest carry-forwards |
(7) |
(16) |
€ million |
2022/23 |
2023/24 |
|---|---|---|
Actual taxes |
88 |
116 |
thereof Germany |
(17) |
(12) |
thereof international |
(71) |
(104) |
thereof tax expenses/income of current period |
(153) |
(114) |
thereof tax expenses/income of previous periods |
(−66) |
(2) |
Deferred taxes |
82 |
−26 |
thereof Germany |
(14) |
(18) |
thereof international |
(68) |
(−44) |
|
170 |
90 |
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% (2022/23: 0.00%) and 30.71% (2022/23: 38.07%).
The tax expense includes a deferred tax expense from the devaluation of a deferred tax asset in the amount of €22 million (2022/23: €37 million).
Applying the German group tax rate to the reported pre-tax result would result in an income tax expense of €−11 million (2022/23: €186 million). The deviation of €101 million (2022/23: €−16 million) from the reported tax expense of €90 million (2022/23: €170 million) can be reconciled as follows:
€ million |
2022/23 |
2023/24 |
|---|---|---|
Earnings before taxes (EBT) |
609 |
−35 |
Expected income tax expenses (30.53%) |
186 |
−11 |
Effects of differing national tax rates |
−15 |
−24 |
Tax expenses and income relating to other periods |
−66 |
2 |
Non-deductible business expenses for tax purposes |
62 |
39 |
Effects of deferred taxes |
60 |
90 |
Additions and reductions for local taxes |
−13 |
18 |
Tax-free income |
−7 |
−25 |
Other deviations |
−36 |
0 |
Income tax expenses according to the income statement |
170 |
90 |
Group tax rate |
27.9% |
−257.8% |
The item effects of differing national tax rates includes a deferred tax expense of €6 million (2022/23: €7 million) from tax rate changes.
As a result of the introduction of international minimum tax rules under the OECD Pillar 2 approach, METRO AG is subject to the requirements to calculate and disclose the minimum tax from financial year 2023/24 onwards. On the basis of current business development, METRO does not anticipate any significant effects in Germany from the introduction of Pillar 2. The actual burden will, however, depend on the changes in the effective tax rates in the relevant countries. Against this backdrop, METRO expects an additional tax burden in the low single-digit million range. METRO applies the exemption provision of IAS 12, under which no disclosure of deferred taxes is required in connection with the minimum tax.