XML 109 R73.htm IDEA: XBRL DOCUMENT v2.4.0.6
Tax (Tables)
12 Months Ended
Dec. 31, 2011
Tax  
Income/(loss) from continuing operations before taxes in Switzerland and foreign countries


in 2011 2010 2009
Income from continuing operations before taxes (CHF million)  
Switzerland  455 1,734 2,383
Foreign  3,006 5,753 5,694
Income from continuing operations before taxes  3,461 7,487 8,077

Details of current and deferred taxes


in 2011 2010 2009
Current and deferred taxes (CHF million)  
Switzerland  38 81 203
Foreign  437 243 757
Current income tax expense  475 324 960
Switzerland  (176) (149) 87
Foreign  372 1,373 788
Deferred income tax expense  196 1,224 875
Income tax expense  671 1,548 1,835
Income tax expense/(benefit) on discontinued operations  0 0 (19)
Income tax expense/(benefit) reported in shareholders' equity related to: 
   Gains/(losses) on cash flow hedges  (4) 4 0
   Cumulative translation adjustment  16 32 (164)
   Unrealized gains/(losses) on securities  12 (2) 16
   Actuarial gains/(losses)  (172) (82) (116)
   Net prior service credit/(cost)  105 3 15
   Share-based compensation and treasury shares  256 (671) (176)

Reconciliation of taxes computed at the Swiss statutory rate


in 2011 2010 2009
Reconciliation of taxes computed at the Swiss statutory rate (CHF million)  
Income tax expense computed at the statutory tax rate of 22%  761 1,647 1,777
Increase/(decrease) in income taxes resulting from 
   Foreign tax rate differential  (40) 519 882
   Non-deductible amortization of other intangible assets and goodwill impairment  0 1 3
   Other non-deductible expenses  447 623 540
   Additional taxable income  8 22 71
   Lower taxed income 1 (479) (775) (694)
   Income taxable to noncontrolling interests  (289) (278) 313
   Changes in tax law and rates  172 119 3
   Changes in deferred tax valuation allowance 1 471 54 (123)
   Other 1 (380) (384) (937)
Income tax expense  671 1,548 1,835
1    See explanation below.


Details of the tax effect of temporary differences


end of 2011 2010
Tax effect of temporary differences (CHF million)  
Compensation and benefits  2,262 2,239
Loans  392 602
Investment securities  1,489 1,479
Provisions  1,943 1,530
Business combinations  101 96
Derivatives  395 269
Real estate  212 200
Net operating loss carry-forwards  7,294 7,211
Other  178 143
Gross deferred tax assets before valuation allowance  14,266 13,769
Less valuation allowance  (2,690) (2,264)
Gross deferred tax assets net of valuation allowance  11,576 11,505
Compensation and benefits  (129) (62)
Loans  (147) (136)
Investment securities  (1,356) (827)
Provisions  (379) (572)
Business combinations  (227) (277)
Derivatives  (392) (420)
Leasing  (58) (66)
Real estate  (82) (84)
Other  (296) (56)
Gross deferred tax liabilities  (3,066) (2,500)
Net deferred tax assets  8,510 9,005

Amounts and expiration dates of net operating loss carry-forwards


end of 2011 Total
Net operating loss carry-forwards (CHF million)  
Due to expire within 1 year  31
Due to expire within 2 to 5 years  8,331
Due to expire within 6 to 10 years  3,664
Due to expire within 11 to 20 years  8,199
Amount due to expire  20,225
Amount not due to expire  11,459
Total net operating loss carry-forwards  31,684


Movements in the valuation allowance


in 2011 2010 2009
Movements in the valuation allowance (CHF million)  
Balance at beginning of period  2,264 2,799 2,976
Net changes  426 (535) (177)
Balance at end of period  2,690 2,264 2,799

Tax benefits associated with share-based compensation


in 2011 2010 2009
Tax benefits associated with share-based compensation (CHF million)  
Tax benefits recorded in the consolidated statements of operations  466 539 632
Windfall tax benefits/(shortfall tax charges) recorded in additional paid-in capital  (280) 615 179
Tax benefits in respect of tax on dividend equivalent payments  2 26 0

Reconciliation of the beginning and ending amount of gross unrecognized tax benefits


2011 2010 2009
Movements in gross unrecognized tax benefits (CHF million)  
Balance at beginning of period  578 964 1,177
Increases in unrecognized tax benefits as a result of tax positions taken during a prior period  54 53 17
Decreases in unrecognized tax benefits as a result of tax positions taken during a prior period  (177) (286) (198)
Increases in unrecognized tax benefits as a result of tax positions taken during the current period  30 39 17
Decreases in unrecognized tax benefits relating to settlements with tax authorities  (65) (31) (58)
Reductions to unrecognized tax benefits as a result of a lapse of the applicable statute of limitations  (19) (91) (6)
Other (including foreign currency translation)  (28) (70) 15
Balance at end of period  373 578 964
   of which, if recognized, would affect the effective tax rate  366 554 915

Interest and penalties


in 2011 2010 2009
Interest and penalties (CHF million)  
Interest and penalties recognized in the consolidated statements of operations  (19) (43) (15)
Interest and penalties recognized in the consolidated balance sheets  86 209 272