Unrecognized Tax Benefits - Impacting Effective Tax Rate
Wells Fargo & Company Unrecognized Tax Benefits - Impacting Effective Tax Rate decreased by 15.0% to $1.7B in Q4 2025 compared to the prior quarter. Year-over-year, this metric declined by 15.0%, from $2B to $1.7B. Over 5 years (FY 2020 to FY 2025), Unrecognized Tax Benefits - Impacting Effective Tax Rate shows a downward trend with a -12.9% CAGR. This is a positive signal — lower values indicate better performance for this metric.
Analysis
How to read this metric
An increase indicates higher volatility in the effective tax rate, while a decrease suggests more predictable tax outcomes.
Detailed definition
The portion of unrecognized tax benefits that, if recognized, would result in a change to the company's effective tax ra...
Peer comparison
A subset of total unrecognized tax benefits; useful for comparing tax-related earnings sensitivity across peers.
unrecognized_tax_benefits_impacting_etrHistorical Data
| Q4 '21 | Q4 '22 | Q4 '23 | Q4 '24 | Q4 '25 | |
|---|---|---|---|---|---|
| Value | $3.7B | $3.6B | $2.3B | $2B | $1.7B |
| QoQ Change | — | -2.7% | -36.1% | -13.0% | -15.0% |
| YoY Change | — | -2.7% | -36.1% | -13.0% | -15.0% |
Unrecognized Tax Benefits - Impacting Effective Tax Rate at Other Companies
Frequently Asked Questions
- What is Wells Fargo & Company's unrecognized tax benefits - impacting effective tax rate?
- Wells Fargo & Company (WFC) reported unrecognized tax benefits - impacting effective tax rate of $1.7B in Q4 2025.
- How has Wells Fargo & Company's unrecognized tax benefits - impacting effective tax rate changed year-over-year?
- Wells Fargo & Company's unrecognized tax benefits - impacting effective tax rate decreased by 15.0% year-over-year, from $2B to $1.7B.
- What is the long-term trend for Wells Fargo & Company's unrecognized tax benefits - impacting effective tax rate?
- Over 5 years (2020 to 2025), Wells Fargo & Company's unrecognized tax benefits - impacting effective tax rate has grown at a -12.9% compound annual growth rate (CAGR), from $3.4B to $1.7B.
- What does unrecognized tax benefits - impacting effective tax rate mean?
- The amount of potential tax savings that would directly lower the company's tax rate if approved by authorities.