Knowledge quiz

It’s time to put what you’ve learned to the test, get 8 questions right to pass this unit.

Q1.

Which factors contribute towards favorable tax automation opportunities?

Choose the correct answer.

A complex legislative environment and low data availability

Stable legislation, straightforward scenarios, and high data availability

The need for frequent qualitative judgment and complex scenarios

Unstable legislation and numerous exceptions

Q2.

Which of the following statements about Pillar II are true?

There are three correct answers.

It is calculated at global MNE level.

The ETR and top-up tax is calculated through GloBE Income and Covered Taxes.

The group revenue threshold is less than 750 million euros.

Pillar II ensures a global minimum tax of 15%.

OECD proposed three temporary safe harbor rules.

Q3.

What is the Routine Profits test under the Pillar II safe harbor rules?

Choose the correct answer.

GLoBE income is less than profit (loss) before tax.

Top-up tax is less than profit (loss) before tax.

Substance-based income inclusion is greater than profit (loss) before tax.

Covered taxes is less than profit (loss) before tax.

Q4.

How can book-to-tax adjustments be made in SAP S/4HANA?

There are three correct answers.

At IFRS level

By tax risk management

In G/L accounts

Manually

Through formula-based rules

Q5.

Which of the following are key building blocks in direct tax?

There are three correct answers.

Tax codes

Chart of accounts

Ledgers

Master data

Tax rates

Q6.

What are the criteria for the Pillar II safe harbor De Minimis test?

Choose the correct answer.

Total revenue less than EUR 10 million and PBT less than EUR 1 million

Total revenue greater than EUR 10 million and PBT greater than EUR 1 million

Total revenue and PBT both equal to EUR 10 million

Total expenses less than EUR 10 million and PBT more than EUR 10 million

Q7.

What is the purpose of setting up different ledgers, including a tax ledger, within an organization's financial system?

Choose the correct answer.

To automate adjustments for tax calculations

To file corporate income tax returns

To streamline tax compliance throughout the year

To replace the need for a tax provisioning solution

Q8.

What are the main drivers for change to automate direct tax processes?

There are three correct answers.

Tighter reporting deadlines

Country-by-country reporting

Continuing with manual calculation

Tax evasion

Gathering high-quality data which can be analyzed

Q9.

Which of the following are steps within bookkeeping and IFRS accounting period?

There are two correct answers.

Document business and tax events

Process IFRS Tax Accounting position

Capture and update master data

Present financial statements to stakeholders

Q10.

What is the primary function of a cloud-based platform like SAP Analytics Cloud in the context of tax analytics?