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Corporate Income Taxes (Tables)
 12 Months Ended
Oct. 31, 2025
Text Block [Abstract]  
Components of income tax provision
(a)
Components of income tax provision
 
For the year ended October 31 ($ millions)  
2025
    
2024
  
Provision for income taxes in the Consolidated Statement of Income:
    
Current income taxes:
    
Domestic:
    
Federal
  
$
 1,088
 
   $ 138  
Provincial
  
 
786
 
     275  
Adjustments related to prior periods
  
 
23
 
     (40 ) 
Foreign
  
 
1,418
 
     1,219  
Adjustments related to prior periods
  
 
(15
) 
     2  
 
 
3,300
 
     1,594  
Deferred income taxes:
    
Domestic:
    
Federal
  
 
(261
) 
     388  
Provincial
  
 
(154
) 
     181  
Foreign
  
 
(134
)
     (131 ) 
 
 
(549
)
     438  
Total provision for income taxes in the Consolidated Statement of Income
  
$
2,751
 
   $  2,032  
Provision for income taxes in the Consolidated Statement of Changes in Equity:
    
Current income taxes
  
$
(162
)
   $ 1,019  
Deferred income taxes
  
 
224
 
     41  
 
 
62
 
     1,060  
Reported in:
    
Other Comprehensive Income
  
 
187
 
     1,156  
Retained earnings
  
 
(125
)
     (96 ) 
Other reserves
  
 
–
 
     –  
Total provision for income taxes in the Consolidated Statement of Changes in Equity
  
 
62
 
     1,060  
Total provision for income taxes
  
$
2,813
 
   $ 3,092  
Provision for income taxes in the Consolidated Statement of Income includes:
    
Deferred tax expense (benefit) relating to origination/reversal of temporary differences
  
$
(549
)
   $ 438  
Deferred tax expense (benefit) of tax rate changes
  
 
–
 
     –  
 
  
$
(549
)
   $ 438  
Reconciliation to Statutory Tax Rate
(b)
Reconciliation to statutory rate
Income taxes in the Consolidated Statement of Income vary from the amounts that would be computed by applying the composite federal and provincial statutory income tax rate for the following reasons:
 
   
2025
    
2024
  
For the year ended October 31 ($ millions)  
Amount
    
Percent
of pre-tax

income
    
Amount
    
Percent
of pre-tax

income
  
Income taxes at Canadian statutory rate
  
$
 2,919
 
  
 
27.8
% 
   $ 2,755       27.8 % 
Increase (decrease) in income taxes resulting from:
        
Lower average tax rate applicable to subsidiaries and foreign branches
(1)
  
 
(177
) 
  
 
(1.7
) 
     (746 )      (7.5 ) 
Tax-exempt
income from securities
  
 
–
 
  
 
–
 
     (28 )      (0.3 ) 
Other, net
  
 
9
 
  
 
0.1
 
     51       0.5  
Total income taxes and effective tax rate
  
$
2,751
 
  
 
26.2
% 
   $  2,032       20.5 % 
 
(1)
Lower average tax rate applicable to subsidiaries and foreign branches includes the impact of the GMT which increased the effective tax rate by 0.8%.
Significant Components of Deferred Tax Assets and Liabilities
Significant components of the Bank’s deferred tax assets and liabilities are as follows:
 
   
Statement of Income
    
Statement of Financial Position
  
   
For the year ended
    
 As at
  
October 31 ($ millions)  
2025
    
2024
    
2025
    
2024
  
Deferred tax assets:
        
Loss carryforwards
  
$
60
 
   $ 29    
$
623
 
   $ 930  
Allowance for credit losses
  
 
(272
)
     54    
 
1,357
 
     1,076  
Deferred compensation
  
 
(109
)
     (100 )   
 
388
 
     317  
Deferred income
  
 
(150
)
     (137 )   
 
404
 
     255  
Property and equipment
  
 
(101
)
     (10 )   
 
422
 
     262  
Pension and other post-retirement benefits
  
 
(22
)
     (48 )   
 
314
 
     387  
Securities
  
 
(26
)
     (17 )   
 
284
 
     260  
Lease liabilities
  
 
3
 
     28    
 
910
 
     891  
Own credit risk
  
 
–
 
     –    
 
447
 
     250  
Other
  
 
(22
)
     (57 )   
 
757
 
     673  
Total deferred tax assets
  
$
 (639
)
   $ (258 )   
$
5,906
 
   $ 5,301  
Deferred tax liabilities:
        
Cash flow hedges
  
$
–
 
   $ –    
$
39
 
   $ 57  
Deferred compensation
  
 
(11
)
     (24 )   
 
209
 
     187  
Deferred income
  
 
(14
)
     (20 )   
 
65
 
     50  
Property and equipment
  
 
(39
)
     (243 )   
 
805
 
     684  
Pension and other post-retirement benefits
  
 
(1
)
     1    
 
73
 
     82  
Securities
  
 
34
 
     (14 )   
 
398
 
     354  
Investment in subsidiaries and associates
  
 
(26
)
     52    
 
86
 
     29  
Intangible assets
  
 
57
 
     (344 )   
 
1,746
 
     1,809  
Other
  
 
(90
)
     (104 )   
 
646
 
     504  
Total deferred tax liabilities
  
$
(90
)
   $ (696 )   
$
4,067
 
   $ 3,756  
Net deferred tax assets (liabilities)
(1)
  
$
 (549
)
   $   438    
$
 1,839
 
   $  1,545  
 
(1)
For Consolidated Statement of Financial Position presentation, deferred tax assets and liabilities are assessed by legal entity. As a result, the net deferred tax assets of $1,839 (2024 – $1,545) are represented by deferred tax assets of $3,253 (2024 – $2,942), and deferred tax liabilities of $1,414 (2024 – $1,397) on the Consolidated Statement of Financial Position.
Changes to Net Deferred Taxes
The major changes to net deferred taxes were as follows:
 
For the year ended October 31 ($ millions)
 
2025
 
 
2024
 
Balance at beginning of year
  
$
1,545
 
   $ 2,095  
Deferred tax benefit (expense) for the year recorded in income
  
 
549
 
     (438 ) 
Deferred tax benefit (expense) for the year recorded in equity
  
 
(224
)
     (41 ) 
Disposed in divestitures
  
 
(35
)
     –  
Other
  
 
4
 
     (71 ) 
Balance at end of year
  
$
   1,839
 
   $
 
 
  1,545