Loss absorbing capacity of deferred tax in Ireland
The loss absorbing capacity of deferred tax (LACDT) is one of the key elements of a company’s Solvency Capital Requirement (SCR). It is also potentially one of the more complex components of the SCR. We have carried out an analysis of LACDT in the Irish (re)insurance market at year-end 2016 in order to understand the extent to which LACDT is used and to compare and contrast it with other EU countries.