Effective Tax Rate (%)


  • Id: eff_tax_rate
  • Type: fundamentals
  • Subtype: ratios
  • Units: percentage
  • Decimal Points: 2
  • Currency Convertible: No
  • Tags: “effective tax rate”, “ETR”, “average tax rate”, “tax burden ratio”, “income tax rate”


Effective tax rate is a measure of how much tax a company pays as a percentage of its accounting income. It is calculated by dividing the company’s income tax expenses by its pretax income. The effective tax rate shows how much of a company’s income is reduced by taxes. The effective tax rate does not apply if the company has negative income tax expenses or pretax income. The formula for effective tax rate is:
Effective tax rate = (Income tax expenses / Pretax income) * 100
Where: - Income tax expenses is IS018, is_inc_tax_exp - Pretax income is IS017, is_pretax_income