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Non-Current Liabilities

Unrecognized Tax Benefits - Impacting Effective Tax Rate

International Business Machines Unrecognized Tax Benefits - Impacting Effective Tax Rate decreased by 28.0% to $5.95B in Q4 2025 compared to the prior quarter. Year-over-year, this metric declined by 28.0%, from $8.26B to $5.95B. Over 4 years (FY 2021 to FY 2025), Unrecognized Tax Benefits - Impacting Effective Tax Rate shows a downward trend with a -7.6% CAGR.

Analysis

StatementBalance Sheet Statement
SectionNon-Current Liabilities
CategoryRisk
SignalContext dependent
VolatilityModerate
First reportedQ4 2021
Last reportedQ4 2025Feb 24, 2026

How to read this metric

A higher value indicates greater potential for future tax rate volatility or favorable adjustments to earnings.

Detailed definition

This subset of unrecognized tax benefits represents the specific amount that, if ultimately recognized, would directly r...

Peer comparison

Used by analysts to model potential upside or downside to earnings per share based on tax audit outcomes.

Metric ID: unrecognized_tax_benefits_impacting_etr

Historical Data

5 periods
 Q4 '21Q4 '22Q4 '23Q4 '24Q4 '25
Value$8.16B$8.19B$8.21B$8.26B$5.95B
QoQ Change+0.3%+0.2%+0.6%-28.0%
YoY Change+0.3%+0.2%+0.6%-28.0%
Range$5.95B$8.26B
CAGR-27.2%
Avg YoY Growth-6.7%
Median YoY Growth+0.3%

Unrecognized Tax Benefits - Impacting Effective Tax Rate at Other Companies

Frequently Asked Questions

What is International Business Machines's unrecognized tax benefits - impacting effective tax rate?
International Business Machines (IBM) reported unrecognized tax benefits - impacting effective tax rate of $5.95B in Q4 2025.
How has International Business Machines's unrecognized tax benefits - impacting effective tax rate changed year-over-year?
International Business Machines's unrecognized tax benefits - impacting effective tax rate decreased by 28.0% year-over-year, from $8.26B to $5.95B.
What is the long-term trend for International Business Machines's unrecognized tax benefits - impacting effective tax rate?
Over 4 years (2021 to 2025), International Business Machines's unrecognized tax benefits - impacting effective tax rate has grown at a -7.6% compound annual growth rate (CAGR), from $8.16B to $5.95B.
What does unrecognized tax benefits - impacting effective tax rate mean?
The portion of uncertain tax benefits that would lower the company's tax rate if they were confirmed.