Note 29 Tax

The tax credit in the 2023 financial year amounted to €9 million. This income results from application of the scheme for discretionary depreciation for tax purposes in 2023, which creates a tax loss that can be partially offset against the taxable profit in 2022. The movement in deferred taxation is €102 million.

The corporate income tax charge for the Alliander N.V. tax group, as recognised in the financial statements, amounts to €12 million. This is the balance of the corporate income tax calculated over the profit for 2023 (€6 million), the corporate income tax for previous years of €4 million and the corporate income tax on movements in balance sheet items recognised directly in equity of minus €2 million.

The table below provides a reconciliation between the corporate income tax rate in the Netherlands and the effective tax rate:

Reconciliation of effective corporate income tax rate

The effective tax rate is the tax burden expressed as a percentage of the profit before tax excluding the profits after tax from associates and joint ventures. The effective tax rate in 2023 amounted to 25.6% (2022: 24.3%).