Question
For the purposes of calculation of leverage exposures as per CRR Art. 429 should the amount of DTAs be reduced by the amount of the associated deferred tax liabilities?
Background on the question
According to CRR Art. 429 par 7 point b, unless otherwise expressly provided in Part 7, institutions, in order to calculate the total exposure measure, shall not net assets with liabilities. Does this restriction also comprise netting of DTAs with DTL prescribed by the accounting framework (for example deferred tax assets and the deferred tax liabilities that relate to taxes levied by the same tax authority and on the same taxable entity)?
Answer
This question has been rejected because the matter it refers to has been answered inQ&A 1856.