A practical workflow for preparing EU Taxonomy disclosures from activity mapping through KPI calculation, template population, contextual notes, and review.
Connect finance, sustainability, and reporting controls around turnover, capital expenditure (CapEx), operating expenditure (OpEx), and the Green Asset Ratio (GAR).
requires in-scope undertakings to disclose how and to what extent their activities are associated with environmentally sustainable economic activities. Choose the reporting entity type and applicable rule set first, then map activities, calculate the prescribed KPIs, populate the correct templates, and reconcile every public figure to evidence. Regulation (EU) 2026/73 changed materiality options, financial-undertaking denominators, and templates from 1 January 2026.
Start the workflow by identifying which disclosure route applies to the reporting entity. Non-financial undertakings use Annex I and the Annex II templates; asset managers use Annexes III and IV; credit institutions use Annexes V and VI; investment firms use Annexes VII and VIII; insurance and reinsurance undertakings use Annexes IX and X. Financial undertakings also use Annex XI qualitative information.
The first evidence register should record the reporting entity, reporting period, applicable annexes, template owner, source systems, and whether each economic activity is , Taxonomy-aligned, or Taxonomy-non-eligible. Eligibility means the activity is described in the relevant delegated acts, even if it does not meet the technical screening criteria.
Sources (2)
Disclosures Delegated Act specifying Article 8 content, presentation, methodologies, annexes, templates, and KPI routes for financial and non-financial undertakings.
content and presentation of information
Primary Taxonomy Regulation source for Article 8 disclosure duties and Article 3 criteria for environmentally sustainable economic activities.
how and to what extent
For non-financial undertakings, disclosures revolve around the proportion of turnover, capital expenditure, and operating expenditure associated with Taxonomy-aligned activities. The workflow should tie each numerator and denominator back to accounting records and the required Annex I methodology, not to an isolated sustainability spreadsheet.
The turnover KPI uses the part of net turnover from products or services associated with Taxonomy-aligned economic activities as numerator and net turnover as denominator. The CapEx denominator covers additions to tangible and intangible assets during the financial year before depreciation, amortisation, remeasurement, and specified fair value effects, while the CapEx numerator is limited to qualifying aligned assets or processes, qualifying CapEx plans, or qualifying purchases of aligned output and individual measures. The OpEx denominator covers direct non-capitalised costs such as research and development, building renovation measures, short-term lease, maintenance and repair, and other direct servicing expenditures; the numerator is the aligned part specified in Annex I.
Sources (3)
Defines the turnover, CapEx, and OpEx KPI methodologies and the accompanying disclosures required from non-financial undertakings.
KPIs OF NON-FINANCIAL UNDERTAKINGS
Commission interpretation notice with FAQ guidance on turnover, CapEx, OpEx, subcontracted activities, internal consumption, allocation, CapEx plans, and OpEx categories.
FAQs ON TURNOVER KPI
Article 1 introduces separate 10% assessment thresholds for turnover, CapEx, and material OpEx, an OpEx non-materiality option, and separate reporting of omitted amounts.
Financial undertakings need a separate dependency workflow because their KPIs often rely on counterparties' most recently available data and KPIs. Credit institutions, for example, disclose the Green Asset Ratio using methodologies in Annex V, while Article 7 sets common rules for excluded exposures and treatment of specific instruments.
Under the rules applying from 1 January 2026, Article 7 excludes derivatives, cash and cash equivalents, on-demand interbank loans, goodwill, commodities, and other assets outside Article 7(6) from financial-undertaking KPI denominators. It also excludes exposures to undertakings outside Articles 19a or 29a that do not belong to a group covered by those provisions. Qualifying special-purpose vehicle (SPV) exposures remain in scope, and voluntary counterparty KPIs or information may bring otherwise excluded exposures into the denominator and numerator under the specified conditions.
Sources (3)
Sets common financial-undertaking KPI exclusions, use of counterparty KPIs, estimate documentation, and previous-period KPI disclosure rules.
Disclosure rules common to all financial undertakings
Clarifies use-of-proceeds sustainable bond treatment, adjusted KPIs, and double-counting issues for financial-undertaking GAR and GIR calculations.
avoid double counting
Amends Article 7 denominator exclusions and the treatment of SPVs, voluntarily reporting counterparties, and known-use-of-proceeds exposures.
Before publication, the workflow should verify that KPI figures, accompanying disclosures, and cross-references live in the same parts of the non-financial statement as required by of the Disclosures Delegated Act, or that the statement contains clear cross-references to where the accompanying disclosures appear.
For non-financial undertakings, the contextual-information review should cover accounting policy, assessment of compliance with Regulation (EU) 2020/852, contribution to multiple objectives, disaggregation of KPIs, key drivers of turnover changes, CapEx-plan information, and OpEx explanations. If voluntary disclosures are added, they should not contradict or misrepresent mandatory disclosures, should not be more prominent than mandatory disclosures, and should explain the basis, methods, and difference from mandatory reporting.
Sources (2)
Requires accompanying disclosures, prior annual reporting-period KPIs, same-currency disclosure, and contextual information for non-financial undertaking KPIs.
same currency as in their financial statements
Commission FAQ guidance on Article 8 implementation and the treatment of voluntary information alongside mandatory Disclosures Delegated Act reporting.
should not be given more prominence
This EU Taxonomy guide helps connect Article 8 KPI calculations, source evidence, template ownership, and publication review before disclosures are finalized.
"Taxonomy-eligible and Taxonomy-aligned"
"FAQs ON TURNOVER KPI"
"avoid double counting"
"methodology to comply with that disclosure obligation"
"content and presentation of information"
"report Taxonomy-eligible economic activities"
"should not be given more prominence"
"how and to what extent"
"KPIs OF NON-FINANCIAL UNDERTAKINGS"
"same currency as in their financial statements"
"Disclosure rules common to all financial undertakings"
Build an EU Taxonomy activity eligibility workflow that maps economic activities to delegated-act descriptions before alignment, DNSH, and Article 8 KPI reporting.
Test EU Taxonomy applicability by separating Article 8 reporting scope, Taxonomy eligibility, Taxonomy alignment, DNSH, minimum safeguards, and KPI evidence.
Cited EU Taxonomy templates for Article 8 reporting, covering non-financial KPIs, financial undertaking annexes, eligibility and alignment evidence, GAR inputs, and publication checks.
Determine which financial and non-financial undertakings report under EU Taxonomy Article 8, which annexes apply, and what evidence supports the reporting boundary.
Build an EU Taxonomy CapEx plan evidence workflow for Article 8 CapEx KPI reporting, management-body approval, milestones, amendments, allocation, and restatement controls.
Build evidence for EU Taxonomy CapEx plans under Article 8, Annex I Section 1.1.2.2 and the Disclosures Delegated Act.
Practical EU Taxonomy compliance guide for mapping eligible activities, testing alignment, collecting DNSH and minimum-safeguards evidence, and preparing Article 8 disclosures.
EU Taxonomy calendar covering Article 8 reporting phases, 2026 disclosure changes, environmental objective dates, and evidence review gates.
Track adopted and proposed EU Taxonomy delegated-act changes by source, status, affected criteria, Article 8 disclosure impact, owner, and evidence update.
Track EU Taxonomy delegated acts by legal status, objective, reporting impact, activity scope, DNSH criteria, Article 8 disclosures, and owner follow-up.
EU Taxonomy DNSH and minimum safeguards guide covering Article 3 alignment, Article 17 harm tests, Article 18 procedures, evidence, and KPI controls.
Current EU Taxonomy Appendix C chemicals guide covering the 2026 replacement criteria, listed substances, legal exemptions, the candidate-list substance threshold, and evidence records.
Compare EU Taxonomy eligibility and alignment under Article 8: what each term means, what evidence is needed, which KPIs are affected, and why eligibility is not proof of sustainability.
Explain EU Taxonomy eligibility and alignment under Article 8, the Disclosures Delegated Act, Article 3, technical screening criteria, DNSH, and safeguards.
EU Taxonomy FAQ hub for eligibility, alignment, technical screening criteria, DNSH, minimum safeguards, Article 8 KPIs, delegated acts, and evidence records.
EU Taxonomy Article 8 financial undertaking KPI guide covering GAR, sector KPIs, 2026 denominator rules, materiality options, exclusions, and evidence.
Prepare EU Taxonomy Green Asset Ratio stock and flow disclosures with current rules for covered assets, exclusions, materiality, and evidence.
Understand how Article 18 minimum safeguards fit into EU Taxonomy alignment, which international standards they reference, and what evidence supports the assessment.
EU Taxonomy Article 22 explains who sets penalties for Articles 5, 6, and 7 financial product disclosures and how to research the applicable national rule.
A cited EU Taxonomy checklist for mapping eligible activities, testing alignment, documenting DNSH and minimum safeguards, and preparing Article 8 KPI disclosures.
Understand the core EU Taxonomy requirements: Article 3 alignment tests, eligible activities, DNSH, minimum safeguards, Article 8 KPIs, and evidence to keep.
How to document EU Taxonomy eligibility, alignment, technical screening criteria, DNSH, minimum safeguards, and Article 8 KPI disclosures without overstating the evidence.
Compare EU Taxonomy Article 8 disclosures with current Accounting Directive sustainability-reporting scope, evidence, KPIs, assurance, and reuse limits.
Compare EU Taxonomy activity tests and Article 8 KPIs with SFDR entity and product disclosures, evidence, publication channels, and limits on data reuse.
Practical FAQ on the current EU Taxonomy DNSH Appendix C chemicals criteria, including listed substances, the 0.1% w/w SVHC threshold, alternatives, and controlled conditions.
cited FAQ on EU Taxonomy 2026 simplification, Regulation (EU) 2026/73, Article 8 reporting, DNSH evidence, and limits on unsupported claims.
A practical FAQ on EU Taxonomy activity evidence packs: eligibility, alignment, DNSH, minimum safeguards, KPI traceability, and cited-source review records.
Practical FAQ on EU Taxonomy Article 8 scope, including who reports, which KPI framework applies, and what evidence teams should retain.
Practical FAQ on EU Taxonomy auditor evidence: what evidence supports eligibility, alignment, DNSH, minimum safeguards, and Article 8 KPI disclosures.
Practical FAQ on EU Taxonomy CapEx plans under Article 8, Annex I Section 1.1.2.2, management-body approval, timing, activity-level evidence, and KPI restatement.
FAQ on handling EU Taxonomy delegated act changes: official source checks, application dates, affected criteria, disclosures, DNSH evidence, and review records.
Eligibility means an activity is covered by Taxonomy delegated acts; alignment means it also meets Article 3 conditions, technical screening criteria, DNSH, and minimum safeguards.
FAQ on EU Taxonomy Article 8 financial undertaking KPIs, credit institution Green Asset Ratio (GAR), reporting dates, exclusions, and qualitative disclosures.
Explain how the EU Taxonomy Complementary Climate Delegated Act treats specified gas and nuclear activities, alignment criteria, DNSH evidence, and separate disclosures.
FAQ on EU Taxonomy minimum safeguards under Article 18: who must comply, which OECD, UNGP, ILO and human-rights evidence to keep, and common reporting mistakes.
Article 8 FAQ for non-financial undertakings reporting EU Taxonomy turnover, CapEx and OpEx KPIs, with evidence and source checks.
Plain-English FAQ on the six EU Taxonomy environmental objectives in Article 9 and how teams should map activities, DNSH checks, safeguards, and evidence.