IVZ · 10-Q · 2026Q3 · Full report

Income Tax Rate Changes

Invesco Ltd. · 2026-11-03 · Importance 38 · Surprise 46

Invesco’s effective tax rate was 23.3% for the third quarter of 2026, compared with negative 2.8% in the third quarter of 2025. For the first nine months, the effective tax rate rose to 25.1% from 15.0%. The year-over-year comparisons reflected a favorable tax-matter resolution in 2025, including a deferred-tax-rate reduction and reversal of a reserve for uncertain tax positions. The 2026 nine-month rate was also affected by the unfavorable impact of net losses attributable to noncontrolling interests in consolidated entities.

Key facts

• Invesco removed a non-cash income tax benefit of $39.0 million in the third quarter of 2025 after a tax-rate decrease revalued deferred tax liabilities for indefinite-lived intangible assets. source
• Invesco's effective tax rate was 23.3% for the third quarter of 2026 versus negative 2.8% in 2025, primarily because 2025 included a favorable tax-matter resolution, deferred tax-rate reduction benefit and reversal of an uncertain-tax-position reserve. source
• Invesco's effective tax rate was 25.1% for the first nine months of 2026 versus 15.0% in 2025, primarily due to the 2026 impact of net losses attributable to noncontrolling interests and the 2025 favorable tax-matter resolution. source