Atos - Registration Document 2016

E Financial

E.4

Consolidated financial statements

Income tax expenses

Note 7

Current and deferred taxes

12months ended December 31, 2015

12months ended December 31, 2016

(In € million)

Current taxes Deferred taxes

-85.0 -60.2

-120.3

10.6

TOTAL

-145.2

-109.7

Effective tax rate The difference between the French standard tax rate and the Effective Tax Rate (ETR) is explained as follows:

12months ended December 31, 2015

12months ended December 31, 2016

(In € million)

Profit before tax

763.9 34.4% -263.0

544.1 38.0% -206.8

French standard tax rate

Theoretical tax charge at French standard rate

Impact of permanent differences Differences in foreign tax rates

36.3 44.6 23.2 -18.1

4.5

76.7 63.4

Movement on recognition of deferred tax assets

Equity-based compensation Change in deferred tax rates

-11.5

-2.9

-7.6

Taxes not based on taxable income (mainly CVAE, IRAP, US State income Tax)

8.0

-29.9 -5.0 15.1 -8.6

E

Withholding taxes French Tax credit

-5.9 20.0 12.6

Other

Group tax expense

-145.2

-109.7

EFFECTIVE TAX RATE

19.0% 20.2%

The Group effective tax rate is 19.0% for 2016.

Restated effective tax rate After restating the unusual items, the restated profit before tax was € 1054.7 million, restated tax charge of € 236.4 million and the restated effective tax rate was 22.4%.

12months ended December 31, 2015*

12months ended December 31, 2016

(in € million)

Profit before tax

763.9 -290.8

544.1 -327.7 871.8 108.1 -109.7

Other operating income and expenses

Profit before tax excluding unusual items

1,054.7

Tax impact on unusual items

91.2

Group tax expense

-145.2

Total of tax excluding unusual items

-236.4

-217.8

RESTATED EFFECTIVE TAX RATE 22.4% 25.0% December 31, 2015 adjusted to reflect change in presentation disclosed in “Basis of preparation and Significant accounting policies”. *

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