A case of squirrelling away your losses to avoid taxes when times are good!!
Allowing for deferred taxes to average out the ups and downs of a business cycle makes good sense. But of course such provisions are exploited to the full – especially by the financial “industry”.
Barclays stockpiles ‘losses’ to soften tax obligations
Barclays has amassed a war chest of “losses” to offset against future tax payments that can almost rival those at the crippled state-backed banks, despite remaining strongly profitable.
The k2p blog 