LYB · 10-Q · 2026Q3 · Full report

Income Tax Rate Changes

LyondellBasell Industries N.V. · 2026-10-30 · Importance 51 · Surprise 64 · In source text

The effective income tax rate for the first nine months of 2026 was 22.1%, compared with negative 13.6% in the first nine months of 2025. The year-over-year increase reflected 2025 non-cash impairments with largely no tax benefit, changes in earnings across countries with different statutory rates, and the largely nondeductible 2026 European asset divestiture, which increased the rate by 36.7, 12.9, and 6.4 percentage points, respectively. A 2025 U.K. deferred-tax valuation allowance and foreign-exchange fluctuations partially offset the increase, reducing the rate by 15.0 and 3.9 percentage points, respectively. The third-quarter 2026 rate was 19.4%, down from 29.2% in the second quarter, with the divestiture lowering the third-quarter rate by 14.1 percentage points on a discrete basis.

Key facts

• LyondellBasell’s effective income tax rate for the first nine months of 2026 was 22.1%, compared with (13.6)% for the first nine months of 2025; 2025 impairments, varying country earnings, and the largely nondeductible 2026 divestiture of select European assets and related businesses increased the rate by 36.7, 12.9, and 6.4 percentage points, respectively. source
• LyondellBasell’s effective income tax rate for Q3 2026 was 19.4%, compared with 3.2% for Q3 2025; changes in earnings across countries with varying statutory rates and non-cash impairments increased the rate by 36.2 and 7.8 percentage points, respectively, while a UK deferred-tax valuation allowance decreased it by 28.0 percentage points. source
• The effective income tax rate for the first nine months of 2026 was 22.1%, compared with (13.6)% for the first nine months of 2025. source
• The effective income tax rate was 19.4% in the third quarter of 2026, compared with 29.2% in the second quarter; the European divestiture reduced the third-quarter rate by 14.1 percentage points, partly offset by a 3.6-point increase from changes in earnings by country. source
• For the first nine months of 2026, 2025 non-cash impairments, changes in earnings by country, and the largely nondeductible European divestiture increased the effective tax rate by 36.7, 12.9, and 6.4 percentage points, respectively. source
• For the first nine months of 2026, the 2025 UK deferred-tax valuation allowance and foreign-exchange gains and losses decreased the effective tax rate by 15.0 and 3.9 percentage points, respectively. source

Impact estimates