Who Must Report?
The EU Taxonomy reporting scope follows the CSRD perimeter for non-financial companies and adds sector-specific rules for financial institutions.
Core size thresholds
Large undertakings generally fall into scope when they meet at least two of the three core size tests.
Employees
Average number of employees during the financial year
Net turnover
Annual net turnover
Total assets
Balance-sheet total
The February 2025 Omnibus proposal would narrow mandatory taxonomy reporting for smaller companies, but the underlying size logic remains relevant for scoping discussions.
The three main KPIs
Non-financial companies report taxonomy-eligible and taxonomy-aligned turnover, CAPEX, and OPEX.
Turnover
Share of net turnover associated with taxonomy-relevant activities.
CAPEX
Share of capital expenditure linked to taxonomy-relevant assets, projects, or transition plans.
OPEX
Share of eligible operating expenditure linked to taxonomy-relevant activity.
Reporting by entity type
Different categories of undertakings face different disclosure obligations under the Taxonomy.
Large non-financial companies
CSRDLarge undertakings disclose turnover, CAPEX, and OPEX with eligibility and alignment breakdowns.
- Per-objective eligibility and alignment reporting
- Standardized KPI templates
- Separate treatment of enabling and transitional activities
Banks and credit institutions
CRRBanks report the Green Asset Ratio and related taxonomy portfolio indicators.
- GAR based on banking-book exposures
- Objective and sector breakdowns
- Treatment rules for excluded exposures
Insurers
Solvency IIInsurance undertakings report taxonomy alignment for investment and certain underwriting exposures.
- Investment alignment disclosures
- Climate-relevant underwriting indicators
Asset managers
SFDRAsset managers disclose taxonomy alignment at entity and product level.
- Product-level alignment for relevant funds
- Linkage to SFDR reporting
Phase-in timetable
Reporting obligations have expanded in several waves.
Large public-interest entities previously in scope of the NFRD
Additional large undertakings meeting the standard CSRD size criteria
Listed SMEs and certain smaller financial undertakings under the phased schedule
Simplified or voluntary treatment for some smaller undertakings
Eligibility versus alignment
Eligibility asks whether the activity is covered by the delegated acts. Alignment asks whether the activity also meets the four substantive conditions.
Reporting both numbers helps users distinguish scope from real environmental performance.
Explore the full framework
Understand the regulation, the objectives, and the technical criteria that sit behind the reporting obligation.