Company: LBTYK
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001570585-25-000114
Chunk: 75

Company: Liberty Global Ltd.
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 8
Chunk 75
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 6.3% (income tax expense of $42.8 million), which differs from the U.K. statutory rate of 25.0% (expected income tax expense of $169.3 million). This difference is primarily due to the positive impact of non-taxable net foreign exchange gains in the U.K. of $163.9 million (24.2%), partially offset by the net negative impact of certain non-taxable or non-deductible items in the Netherlands, Belgium and the U.K. of $27.5 million (4.1%).

34

LIBERTY GLOBAL LTD.Notes to Condensed Consolidated Financial Statements — (Continued)March 31, 2025(unaudited)

As of March 31, 2025, our unrecognized tax benefits were $300.5 million, of which $264.1 million would have a favorable impact on our effective income tax rate if ultimately recognized, after considering amounts that we would expect to be offset by valuation allowances and other factors. We and our subsidiaries file consolidated and standalone income tax returns in various jurisdictions. In the normal course of business, our income tax filings are subject to review by various taxing authorities. In connection with such reviews, disputes could arise with the taxing authorities over the interpretation or application of certain income tax rules related to our business in that tax jurisdiction. Such disputes may result in future tax and interest and penalty assessments by these taxing authorities. The ultimate resolution of tax contingencies will take place upon the earlier of (i) the settlement date with the applicable taxing authorities in either cash or agreement of income tax positions or (ii) the date when the tax authorities are statutorily prohibited from adjusting the company’s tax computations.In general, tax returns filed by our company or our subsidiaries for years prior to 2019 are no longer subject to examinationby tax authorities. Certain of our subsidiaries are currently involved in income tax examinations in various jurisdictions in which we operate, including Luxembourg and the U.S. While we do not expect adjustments from the foregoing examinations to have a material impact on our consolidated financial position, results of operations or cash flows, no assurance can be given that this will be the case given the amounts involved and the complex nature of the related issues.On October 7, 2022, the U.S. Department of Justice filed a suit against Liberty Global, Inc. (LGI), a wholly-owned U.S. subsidiary of Liberty Global, in the U.S. District Court of Colorado for unpaid federal income taxes and penalties for