BPCE - 2018 Registration document

FINANCIAL REPORT BPCE parent company annual financial statements

NON-RECURRING INCOME 5.10 No non-recurring income was recorded in the 2018 fiscal year.

INCOME TAX 5.11 Breakdown of income tax in 2018 5.11.1

BPCE is the head of a tax consolidation group that includes the 14 Banque Populaire banks, the 15 Caisses d’Epargne, and the BPCE subsidiaries, including Crédit Foncier, Banque Palatine, BPCE International, BP Covered Bonds and BPCE SFH.

Corporate tax for tax consolidation purposes can be broken down as follows:

Fiscal year 2018

in millions of euros

Taxable bases at the following rates:

33.33%

19%

15%

Tax on current income

986

Tax on non-recurring income Taxable bases

986

0

0

Applicable tax

(329)

+ Contributions 3.3%

(11)

+ Extraordinary contributions - Deductions in respect of tax credits

50

Reported income tax Tax consolidation effect

(290)

0

0

550

Adjustments to previous periods Impact of tax reassessments

- -

Provisions for the return to profitability of subsidiaries

156

Provisions for taxes

35

5

TOTAL

451

0

0

In 2018, as a result of tax consolidation income, the gain in income impacted the calculation of the provisions for corporate tax refunds taxes after taking into account changes in provisions and other for subsidiaries in the context of tax consolidation in the amount of adjustments was € 451 million, up € 227 million relative to 2017. This € 165 million. change is mainly attributable to changes in assumptions which Breakdown of taxable income for fiscal year 2018 – Reconciliation from accounting to taxable income 5.11.2 The reconciliation from accounting to taxable income for BPCE can be broken down as follows:

Fiscal year 2018

Fiscal year 2017

in millions of euros

Net accounting income (A)

391

729

Corporate tax (B)

(261)

(224)

Add-backs (C)

507

391

Impairments and provisions

29

10

UCITS

0

4

Long-term capital losses under exemptions Share of profit from partnerships or joint ventures

416

322

14 49

13 42

Other items

Deductions (D)

1,144

1,372

Long-term capital gains under exemptions Reversals of impairment charges and provisions

80

500

203 811

54

Dividends

812

Share of profit from partnerships or joint ventures UCITS

16 34

6

Other items

Tax base at normal rate (A)+(B)+(C)-(D)

(506)

(476)

583

Registration document 2018