Line4

1 min readWarningEBA reporting framework 4.2Updated 10 November 2026

Deductions must equal the sum of its three parts (EBA rule v0269_m)

A warning in the own funds and capital requirements return (COREP own funds), on template C 05.01, capital adequacy - transitional provisions: Summary.

Check your file against this ruleWhat to do if it fails

The rule in plain words

Deductions must equal these three added up:

  • Deferred tax assets that rely on future profitability and do not arise from temporary differences
  • Deferred tax assets that are dependent on future profitability and arise from temporary differences and CET1 instruments of financial sector
  • Deferred tax assets that are dependent on future profitability and arise from temporary differences

All the values are in the adjustments included in RWAs column (0040) of C 05.01.

How the Line4 Check report words itShow

Word for word as the report shows it when the rule fails.

Adjustments included in RWAs: Deductions = Deferred tax assets that rely on future profitability and do not arise from temporary differences + Deferred tax assets that are dependent on future profitability and arise from temporary differences and CET1 instruments of financial sector + Deferred tax assets that are dependent on future profitability and arise from temporary differences

What to do if your filing fails it

  1. 01Open the template below and find the cells the rule reads.
  2. 02Add up the parts in your file and compare the result with the total.
  3. 03If they differ, a part is missing, a value sits in the wrong row, or the total is out of date.
  4. 04EBA allows a small rounding difference, worked out from the decimals each value is reported with.
  5. 05It runs only when your filing indicators mark C 05.01 as reported.
  6. 06This is a warning. It does not stop the filing on its own, but your authority may ask you to explain it.

The cells it reads

Capital adequacy - transitional provisions: Summary (C 05.01)

Rows

  • 0140Deductions
  • 0170Deferred tax assets that rely on future profitability and do not arise from temporary differences
  • 0380Deferred tax assets that are dependent on future profitability and arise from temporary differences and CET1 instruments of financial sector
  • 0385Deferred tax assets that are dependent on future profitability and arise from temporary differences

Column

  • 0040Adjustments included in RWAs

A worked example

The first of its checks, with simple numbers.

Illustrative values
Deferred tax assets that rely on future profitability and do not arise from temporary differences1,200
Deferred tax assets that are dependent on future profitability and arise from temporary differences and CET1 instruments of financial sector800
Deferred tax assets that are dependent on future profitability and arise from temporary differences450
Together2,450
What the rule then expects

Deductions must then be 2,450.

2,450Passes
2,550Fails

A file that reports 2,450 passes. One that reports 2,550 fails, by 100.

The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.

Show the rule as writtenShow

EBA's formula. Cells are written as {template, row, column, sheet}.

{C_05.01,r0140,c0040,} = {C_05.01,r0170,c0040,} + {C_05.01,r0380,c0040,} + {C_05.01,r0385,c0040,}

Every COREP own funds rule, by template

Checks like this one, run at the point of submission, are the first step to real-time supervision.