Company: BBD
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001292814-25-001244
Chunk: 444

Company: BANK BRADESCO
Filing Date: 2025-03-31
Form: 20-F
Item: Item 19
Chunk 444
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with those used by the Bank, and considered historical data and information related to the lawsuits in question in order to evaluate the
provisions and disclosures made in relation to these matters. We involved tax professionals with specialized skills and knowledge, who
assisted in the assessment of the likelihood and estimate of loss of certain specific tax lawsuits based on the technical merits of the
Bank’s position and the supporting documentation.

Assessment of the recoverability of deferred tax assets

As discussed in notes 2p, 4 and 37c to the consolidated financial
statements the Bank has R$ 107,198,986 thousand of deferred tax assets as of December 31, 2024. The Bank recognizes these deferred tax
assets to the extent that it is probable that future taxable profits will be available against which the deferred tax assets can be utilized.
The Bank’s estimates of future taxable profits are based on its business plans and budgets which require the Bank to make a number
of assumptions related to future events and conditions. Changes in certain assumptions about the future, such as growth rates of the principal
lines of business, interest rates and foreign exchange rates, could have a significant impact on these estimates and, consequently, on
the recoverability of deferred tax assets.

We identified the assessment of the recoverability of deferred tax
assets as a critical audit matter. The evaluation of the estimates of future taxable profit and the underlying assumptions, specifically
the growth rates of the principal lines of business, interest rates and foreign exchange rates, required subjective auditor judgment because
of the sensitivity of the estimate to minor changes in the assumptions and the degree of subjectivity associated with those assumptions.

  F - 155  

  Consolidated Financial Statements in IFRS | Report of Independent Registered Public Accounting Firm  
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The following are the primary procedures we performed to address this
critical audit matter. We evaluated the design and tested the operating effectiveness of certain internal controls over the process to
estimate future taxable profits. This included controls related to the development and approval of key assumptions for the budget and
the final estimates of future taxable profits. We involved professionals with specialized skills and knowledge in corporate finance, who
assisted in assessing the assumptions, including the growth rates of the principal lines of business, interest rates and foreign exchange
rates underlying the Bank’s estimate of future taxable profits. We evaluated the Bank’s ability to accurately project taxable
profits by comparing the estimated taxable profits for the year ended December