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Income taxes - Reconciliation of the effective income tax rate (Detail)
12 Months Ended
Mar. 31, 2023
Mar. 31, 2022
Mar. 31, 2021
Income Tax [Abstract]      
Effective statutory tax rate 31.00% 31.00% 31.00%
Changes in deferred tax valuation allowances [1] 11.30% 18.00% 8.70%
Additional taxable income 0.70% 1.00% 0.70%
Non-deductible expenses 7.80% 5.10% 7.10%
Non-taxable income (4.70%) (2.90%) (4.50%)
Dividends from foreign subsidiaries 0.10% 0.00% 0.00%
Tax effect of undistributed earnings of foreign subsidiaries 0.30% 0.10% 0.00%
Different tax rate applicable to income (loss) of foreign subsidiaries (0.90%) 0.00% (4.00%)
Effect of changes in foreign tax laws [1] (1.90%) (14.40%) 1.10%
Tax benefit recognized on the outside basis differences for investment in subsidiaries and affiliates [2] (2.30%) 0.00% (8.70%)
Other (2.70%) (2.60%) (0.90%)
Effective tax rate 38.70% 35.30% 30.50%
[1] The U.K. Finance Act 2021, enacted on June 10, 2021, increases the headline U.K. corporation tax rate from 19% to 25% on April 1, 2023. Deferred tax assets and liabilities as of the balance sheet date are calculated by reference to the most appropriate enacted rates as of March 31, 2022. As a result of the change in closing deferred tax rate, Nomura recognized a movement in Effect of changes in foreign tax laws of ¥36 billion (which decreased Nomura’s effective tax rate by 16.0%), which was offset by a movement in Changes in deferred tax valuation allowances of ¥36 billion (which increased Nomura’s effective tax rate by 16.0% ) during the year ended March 31, 2022.
[2] Tax benefit recognized on the outside basis differences for investment in subsidiaries and affiliates during the year ended March 31, 2021 of approximately ¥21 billion (which decreased Nomura’s effective tax rate by 9.1%) arises from the recognition of deferred tax assets from the decision and commitment of Nomura management to liquidate a certain wholly-owned subsidiary within Nomura in the foreseeable future. The valuation allowances of ¥3 billion have been recognized against these deferred tax assets, the impact of which are reported in Changes in deferred tax valuation allowances for the same period.