The Documents to Gather Before Starting a Pillar Two Calculation

Start with the ownership chart, entity register and ultimate parent’s consolidated financial statements. Obtain the revenue history relevant to the scope assessment and identify acquisitions, disposals or restructurings. Record the financial year and accounting framework used. Ask for a reconciliation between the legal entity list and consolidation records so the calculation population can be explained.

Give every requested item an owner, due date and status. Distinguish a missing document from one that exists but has not been reviewed. If the group operates several reporting systems, request a data dictionary showing how entity identifiers, currencies and account codes correspond. This prevents different teams from supplying figures that look comparable but describe different populations or periods.

Collect trial balances, consolidation reporting packages, current and deferred tax schedules, tax provision reconciliations and relevant local returns. Ask for explanations of material incentives, credits, uncertain positions and prior-period adjustments. The purpose is to support the preparation of GloBE-adjusted figures, not to assume that every item in an ordinary tax provision qualifies as a covered tax.

For example, a fictional subsidiary supplies a profit figure in local currency, a tax provision in dollars and a payroll total for a different year. Each file may be accurate for its original purpose, but they cannot be combined directly. The information owner should resolve currency, period and measurement differences before a calculation is labelled complete. Keep the reconciliation with the final inputs.

If screening a safe harbour, request the qualifying source records and election history for that route. If calculating the substance-based income exclusion, identify the relevant payroll and tangible asset records rather than asking for an unexplained aggregate. Where an incentive or tax credit is material, obtain the supporting terms and accounting treatment for technical review.

Add a separate compliance folder with entity appointments, registration details, portal access arrangements and filing acknowledgements. Set access permissions through the group’s normal controls rather than circulating passwords in the working file. Keep a dated record of questions sent to local advisers and the assumptions their answers address. A shared folder is useful only when its contents can be identified and trusted.

Do not request every possible schedule from every entity on day one. Confirm scope and prioritise likely exposures or earlier deadlines, then expand the request as necessary. If data is missing, tell management which conclusion cannot yet be reached and what would resolve it. Send us your current information request and entity list if the process is becoming unmanageable; we can help separate essential inputs from later-stage detail and organise the follow-up questions.