Areva - Reference Document 2016

20

20.2 Notes to the consolidated financial statements for the year ended December 31, 2016 FINANCIAL INFORMATION CONCERNING ASSETS, FINANCIAL POSITION AND FINANCIAL PERFORMANCE

RECONCILIATION OF INCOME TAX EXPENSE AND INCOME BEFORE TAXES

Continuing operations

(in millions of euros)

2016

2015

Net income attributable to equity owners of the parent Less income from operations sold, discontinued or held for sale

(665)

(2,038)

365

770

Minority interests

(105)

2

Share in net income of joint ventures and associates

14

26

Tax expense (income)

(118) (510)

(93)

Income before tax

(1,333)

Theoretical tax income (expense)

175

459

Reconciliation Operations taxed at a rate other than the full statutory rate

(2)

0

Unrecognized deferred taxes

(29)

(407)

Impairment of deferred tax assets recognized in previous years* Other permanent differences

(25) 118

41 93

EFFECTIVE TAX INCOME (EXPENSE)

* in the tax consolidation area including AREVA SA (France) and AREVA GmbH (Germany).

The revised outlook for the group’s operations and profitability, consistent with the assumptions used for the impairment tests, led the group to not recognize deferred tax assets for 2015 and 2016.

TAX RATES USED IN FRANCE

(percentage)

2016

2015

Tax rate

34.43

34.43

OTHER PERMANENT DIFFERENCES

Continuing operations

(in millions of euros)

2016

2015

Parent / subsidiary tax treatment and inter-company dividends

0

0

Impact of permanent differences for tax purposes

(3)

(24) (27)

Differences between the French tax rate and tax rates applicable abroad

(10)

CVAE business tax

0

7

Other permanent differences

(13) (25)

84 41

TOTAL PERMANENT DIFFERENCES

EFFECTIVE TAX RATE

(in millions of euros)

2016

2015

Operating income Net financial income

(442)

(1,287)

(68)

(46)

TOTAL INCOME SUBJECT TO TAX

(510)

(1,333)

Tax expense

118 NA

93

Effective tax rate

NA

206

2016 AREVA REFERENCE DOCUMENT

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