Finance · Tax · Component
Tax risk register
The tax positions that could reasonably be challenged, the exposure they carry, and when each is next reviewed.
The deliverable
What it is
An uncertain position is one where a reasonable tax authority could take a different view. Such positions are a normal part of operating across jurisdictions; the risk lies in not knowing which ones the organisation holds.
The register is read against the risk appetite in the tax policy. A position inside the appetite is accepted; one outside it is a matter for resolution or escalation.
One level in
What it is made of
Each element is a constituent part of the component. Follow one to see the attributes it carries.
Uncertain positions
Each treatment that could be challenged, how confident the organisation is in it, and the advice it relies on.
3 attributes: Position · Confidence · Advice relied on
LearnExposure
The amount that could become payable if a position is not upheld, and the tax years that would be affected.
2 attributes: Potential exposure · Years affected
LearnReview
When each position is next examined, by whom, and whether it currently sits within the agreed risk appetite.
3 attributes: Next review · Owner · Against appetite
Learn
Count exposure across all open years. A small annual amount repeated over several years can become material.
The other components in tax
Tax map
Where the organisation is taxable, the flows of goods, services and money between its entities, and what its structure depends on.
LearnTax policy
The conduct the organisation has committed to on tax, its appetite for tax risk, and who is allowed to decide what.
LearnIncentives register
Tax reliefs and incentives the organisation claims or could claim, with the conditions each depends on and who watches them.
Learn