Article 4 defines Adjusted Covered Taxes, essential for calculating the Effective Tax Rate. It details additions and reductions to current tax expenses, including adjustments for uncertain tax positions and qualified tax credits. The article introduces mechanisms for temporary differences through deferred tax adjustments and the Pillar Two Loss Election, which allows for the creation of deferred tax assets from losses. It also addresses the allocation of taxes between entities (e.g., CFC taxes and PE taxes) and provides rules for post-filing adjustments and the impact of domestic tax rate changes.