Tax budgeting is a component of the overall controlling and planning processes. As part of long-term planning, it forms the basis for booking deferred tax assets. This applies especially to tax loss carryforwards. In addition, tax planning provides information required to further improve corporate tax structuring. The interest deduction cap, which was intro duced with the 2008 Business Tax Reform, has increased the importance of tax planning and simulation for the proactive control and optimisation of financial structures. Furthermore, legal regulations concerning the computation and disclosure of tax positions in financial reports, in particular in quarterly and half-year financial statements need to be taken into account. The requirements resulting from such regulations can have an effect on the tax planning process itself.