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Taxation (Multinational—Global and Domestic Minimum Tax) Rules 2024
4‑100 Effect of Recaptured Deferred Tax 4‑100 Effect of Recaptured Deferred Tax Liability
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4‑100 Effect of Recaptured Deferred Tax Liability
If there is Recaptured Deferred Tax Liability for a Constituent Entity of an MNE Group located in a jurisdiction for a Fiscal Year: (a) for the purposes of section 4‑20, treat the amount of the Recaptured Deferred Tax Liability as increasing the Reduction to Covered Taxes of the Constituent Entity for the fifth preceding Fiscal Year; and (b) recalculate the Effective Tax Rate and Jurisdictional Top‑up Tax of the MNE Group for the jurisdiction for the fifth preceding Fiscal Year in accordance with section 5‑95.