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Board OntologyFinance

Tax

Corporate income tax, withholding tax, or other tax expense for the period. Often minimal for loss-making startups, but can be non-trivial with multi-jurisdiction operations or specific tax regimes. — Finance KPI, I'mBoard-authored (editorial tier).

I'mBoard-authored (editorial tier)

No public third-party standard anchors this KPI yet, so I'mBoard authors and maintains the definition — transparently labeled as editorial tier. See the ontology methodology for the published vs editorial tier system and the back-attribution workstream.

Rogue ID: finance.tax Type: Currency Domain: Finance

Definition

Corporate income tax, withholding tax, or other tax expense for the period. Often minimal for loss-making startups, but can be non-trivial with multi-jurisdiction operations or specific tax regimes.

Formula

Tax expense for the period (subtracted in net income).

Why it matters

Completes the path to net income; can surprise multi-entity companies even while loss-making.

How to interpret

Usually small at a loss-making startup; flag if multi-jurisdiction operations make it material.

Calculation policy

How an AI agent should compute this KPI from messy company data. Free-text rules consumed at reasoning time — not a deterministic DSL. The most common ways to get this wrong are listed under Common miscomputations.

Inclusion rules

  • Corporate income tax, withholding tax, and other tax expense for the period, subtracted in net income.

Exclusion rules

  • Employer payroll taxes — those are loaded into the payroll lines.
  • Sales tax / VAT collected on behalf of authorities — a liability, not an expense.
  • Deferred-tax non-cash movements unless explicitly presented.

Required inputs

  • Tax provision by jurisdiction and withholding on cross-border payments.

Edge cases

  • Usually small at a loss-making startup, but multi-jurisdiction operations or minimum taxes can make it non-trivial.
  • Distinguish current tax from deferred tax.

Validation checks

  • Completes the path to net income; flag if multi-jurisdiction operations make it material.

Common miscomputations

  • Classifying employer payroll taxes as income tax.
  • Treating collected VAT / sales tax as an expense.
  • finance.net_income

Source

I'mBoard editorial — authored and maintained by I'mBoard, first published 2026-04-01. No third-party standard is cited for this KPI; when one emerges, the definition is back-attributed and promoted to the published tier (a minor version bump). Read the ontology methodology for the published vs editorial tier system, attribution rules, and dispute process.

Stage relevance

Company stagePriority
Series ARecommended
Series BRecommended
Series C+Recommended
PublicRecommended

Suggested for stages: Series A, Series B, Series C+, Public.

Default owning functions

  • Finance

Machine-readable

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