5 The change in this caption in 2020 can be analysed as follows: € millions 31.12.2018 31.12.2019 Charges (2) Reversals (used) (2) Reversals (not used) (2) Other (1) 31.12.2020 Provisions for restructuring 102.1 112.9 261.9 -110.9 -15.7 -13.1 235.1 Provisions for product returns 316.8 351.1 300.4 -227.0 -49.4 -22.7 352.4 Other provisions for liabilities and charges 608.5 710.7 219.0 -133.8 -58.8 -43.0 694.1 TOTAL 1,027.4 1,174.7 781.3 -471.7 -123.9 -78.8 1,281.6 (1) Mainly resulting from translation differences. (2) These figures can be analysed as follows: €  millions Charges Reversals (used) Reversals (not used) Operating profit 498.8 -357.6 -108.1 Other income and expenses 282.5 -114.1 -15.8 Net financial income - - - The change in this caption in 2019 can be analysed as follows: € millions 31.12.2017 31.12.2018 Charges (2) Reversals (used) (2) Reversals (not used) (2) Other (1) 31.12.2019 Provisions for restructuring 146.0 102.1 89.1 -58.7 -13.3 -6.4 112.9 Provisions for product returns 303.6 316.8 301.0 -233.6 -38.6 5.5 351.1 Other provisions for liabilities and charges 623.6 608.5 278.9 -127.7 -62.2 13.2 710.7 TOTAL 1,073.2 1,027.4 669.0 -420.0 -114.1 12.4 1,174.7 (1) Mainly resulting from translation differences (2) These figures can be analysed as follows: € millions Charges Reversals (used) Reversals (not used) Operating profit 530.7 -360.0 -100.8 Other income and expenses 138.3 -60.0 -13.3 Net financial income - - - 12.2. Contingent liabilities and material ongoing disputes L’Oréal is party to several material disputes, described below: 12.2.1. Tax disputes Brazil – IPI indirect tax base challenged In  January 2015, decree 8.393/2015 stated that commercial companies in Brazil would be liable for the indirect IPI tax on certain products as from 1 May 2015. L’Oréal is challenging the legal grounds of this decree and its application. In light of changes in market practices and a favourable change in the opinion of its advisers, since 1  January 2018 L’Oréal has recognised the IPI collected under income and the provision that had been funded was accordingly reversed in 2018. L’Oréal received tax reassessment notices regarding the indirect IPI tax for financial years 2008 and 2011 to 2015 totalling €523.9  million, including interest and penalties. The Brazilian tax authorities are questioning the ex-works sales price to the commercial arm used to calculate the IPI tax base. After consulting with its tax advisors, L’Oréal considers that the Brazilian tax authorities’ position is unfounded and has challenged these notices. L’Oréal continues its legal proceedings with the tax and legal authorities. In light of the negative developments in administrative court decisions on the same matter for other Brazilian groups, L’Oréal funded a provision for €35  million to partially cover this risk. India – Advertising, marketing and promotional costs challenged L’Oréal received several tax reassessment notices regarding financial years 2007/08 to 201 7/18 for the most part concerning the tax deductibility of advertising, marketing and promotional expenses for a total amount of €202.4  million including interest and penalties. After consulting with its tax advisors, L’Oréal decided to contest these notices and continues the legal proceedings with the administrative and legal authorities. Mutual agreement procedures Mutual agreement procedures were instigated vis-à-vis the Italian, French, Spanish, Indonesian and Singaporean tax authorities in order to eliminate double taxation following disagreements between these authorities. 12.2.2. Investigations carried out by the  competition authorities The national competition authorities in several European countries have launched investigations targeting the cosmetics industry in particular. L ’ ORÉAL I UNIVERS AL REGISTRATION DOCUMENT 2021 335 2021 CONSOLIDATED FINANCIAL STATEMENTS Notes to the consolidated financial statements