Income taxes
Income tax expense increased by CHF 48 million year-on-year, from CHF 271 million to CHF 319 million, corresponding to an effective income tax rate of 14.8% (prior year: 15.1%) The tax expense in 2021 was positively impacted by the low taxation of income from participations and the capitalisation of deferred tax assets in connection with a change in Italian tax laws. Swisscom anticipates a future effective consolidated tax rate of 19.5%. The CHF 30 million decrease in income taxes paid to CHF 279 million was mainly due to the difference between the expense recorded and the payment of income taxes due.
In CHF million, except where indicated | Switzerland | Italy | Other countries | Total | ||||
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In CHF million, except where indicated | Switzerland | Italy | Other countries | Total | ||||
In CHF million, except where indicated2021 financial year | ||||||||
In CHF million, except where indicatedIncome before income taxes | Switzerland1,827 | Italy306 | Other countries19 | Total2,152 | ||||
In CHF million, except where indicatedIncome tax expense | Switzerland339 | Italy(22) | Other countries2 | Total319 | ||||
In CHF million, except where indicatedEffective income tax rate | Switzerland18.6% | Italy–7.2% | Other countries10.5% | Total14.8% | ||||
In CHF million, except where indicated | Switzerland | Italy | Other countries | Total | ||||
In CHF million, except where indicatedIncome taxes paid | Switzerland264 | Italy15 | Other countries– | Total279 | ||||
In CHF million, except where indicated | Switzerland | Italy | Other countries | Total | ||||
In CHF million, except where indicated2020 financial year | ||||||||
In CHF million, except where indicatedIncome before income taxes | Switzerland1,669 | Italy108 | Other countries22 | Total1,799 | ||||
In CHF million, except where indicatedIncome tax expense | Switzerland242 | Italy25 | Other countries4 | Total271 | ||||
In CHF million, except where indicatedEffective income tax rate | Switzerland14.5% | Italy23.1% | Other countries18.2% | Total15.1% | ||||
In CHF million, except where indicated | Switzerland | Italy | Other countries | Total | ||||
In CHF million, except where indicatedIncome taxes paid | Switzerland299 | Italy10 | Other countries– | Total309 |
Swisscom operates principally in Switzerland and Italy, so the information on income taxes is divided into Switzerland, Italy and other countries.