Question ID:
Legal Act:
Regulation (EU) No 575/2013 (CRR)
Supervisory reporting - COREP (incl. IP Losses)
COM Delegated or Implementing Acts/RTS/ITS/GLs/Recommendations:
Regulation (EU) No 680/2014 - ITS on supervisory reporting of institutions (repealed)
Annexes I, II, validation rules
Disclose name of institution / entity:
Type of submitter:
Consultancy firm
Subject Matter:
Inconsistency between validation rules and ITS/CRR for C 07.00

Why is there an inconsistency between the provisions of the CRR / the ITS on Reporting and several validation rules (e4891_n // e4894_n)?

Background on the question:

e4891_n states that for row 250, C 07.00, sheet 002 (Central Governments or Central Banks) should be 'empty'. However, the 250% risk weight bucket for Central Governments or Central Banks will be populated for deferred tax assets (the 250% risk weight based on this being 'other assets').

Furthermore, e4894_n states that for rows 140-170 and 190-280, C 07.00a, sheet 007 (Institutions) should be 'empty'. However, many of these rows will be populated for Institutions as the risk weight for these are not limited to just 20%.

Date of submission:
Published as Final Q&A:
Final Answer:

Validation rule e4891_n will be corrected.

The subject validation rule, as currently drafted, is misleading as regards the substantial treatment (and the consequent reporting) of certain exposures towards central governments as it incorrectly assumes that these exposures can never receive a risk weight equal to 250% (row 250 of template C 07.00 of Annex I to Regulation (EU) No 680/2014 (ITS on Supervisory Reporting)). This, however, is not the case on the basis of Article 48(4) of Regulation (EU) No 575/2013 (CRR) and Q&A 2013_390, according to which certain amounts of DTA may be subject to a risk weight of 250% and be reported in row 250 of sheets 002 (Central governments or central banks) or 003 (Regional governments or local authorities).

For e4894_n, please see Q&A 2017_3237.

Final Q&A
Answer prepared by:
Answer prepared by the EBA.