The low tax expense is mainly a result of the liquidation of the subsidiary in
Asia in the fourth quarter. DNB hedges investments in foreign subsidiaries to
eliminate the foreign currency exposure which arises when the functional
currency differs from that of the Group. Gains or losses on investments in
foreign subsidiaries are exempt from tax while corresponding gains or losses on
hedging instruments are taxable. When a foreign operation is disposed of or
liquidated, the cumulative gains or losses of the hedging instruments recognised
in equity is reclassified to the ordinary income statement. The result from tax
on gains on these hedging instruments amounts to NOK 1 284 million for the
fourth quarter.

This gives an effective tax rate for 2022 of 18 per cent but will have no effect
on the tax guiding going forward (23 per cent).

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