BMW 2015 Annual Report Download - page 142

142
37
Income tax liabilities
Income tax liabilities totalling € 1,441 million (2014:
€ 1,590 million) include obligations amounting to
€ 485 million (2014: € 956 million) which are expected
to be settled after more than twelve months. Some of
the liabilities may be settled earlier than this depend-
ing on the timing of proceedings.
Current tax liabilities of € 1,441 million (2014: € 1,590 mil-
lion) comprise € 288 million (2014: € 151 million) for
taxes payable and € 1,153 million (2014: € 1,439 million)
for tax provisions. Tax provisions totalling € 8 million
were reversed in the year under report (2014: € 1 mil-
lion).
in € million 1. 1. 2015 Translation Additions Reversal of Utilised Reversed 31. 12. 2015
differences
discounting
Obligations for personnel and social expenses 1,871 7 1,496 1 – 1,414 – 22 1,939
Obligations for ongoing operational expenses 4,887 283 3,462 72 – 2,474 – 419 5,811
Other obligations 2,032 54 677 2 – 604 – 281 1,880
Other provisions 8,790 344 5,635 75 – 4,492 – 722 9,630
in € million 31. 12. 2015 31. 12. 2014
To t a l thereof To t a l thereof
due within due within
one year one year
Obligations for personnel and social expenses 1,939 1,475 1,871 1,442
Obligations for ongoing operational expenses 5,811 2,430 4,887 1,786
Other obligations 1,880 1,104 2,032 1,294
Other provisions 9,630 5,009 8,790 4,522
36
Other provisions
Other provisions comprise the following items:
Provisions for obligations for personnel and social ex-
penses comprise mainly performance-related remunera-
tion
components, early retirement part-time working
arrangements and employee long-service awards. Obliga-
tions for performance-related remuneration components
are normally settled in the following financial year.
Provisions for obligations for ongoing operational ex-
penses relate primarily to warranty obligations and
comprise both statutorily prescribed manufacturer
warranties and other guaranties offered by the BMW
Group. Depending on when claims are made, it is
possible that the BMW Group may be called upon to
fulfil obligations over the whole period of the war-
ranty or guarantee. Expected reimbursement claims
amounted to € 711 million at the end of the reporting
period (2014: € 641 million). Also included are other
provisions for expected payments for bonuses, rebates
and other price deductions.
Provisions for other obligations cover numerous specific
risks and obligations of uncertain timing and amount,
in particular for litigation and liability risks.
Other provisions changed during the year as follows:
Income from the reversal of other provisions amounting to € 550 million (2014: € 198 million) is recorded in cost of
sales and in selling and administrative expenses.
to measure the level of funding. In conjunction with
these valuations, funding plans are drawn up and the
amount of any necessary special allocations determined.
Statutory minimum funding and recovery requirements
apply in the UK and the USA which may have an effect
on future amounts. Valuations are performed regularly
90 GROUP FINANCIAL STATEMENTS
90 Income Statements
90 Statement of
Comprehensive Income
92 Balance Sheets
94 Cash Flow Statements
96 Group Statement of Changes in
Equity
98 Notes
98 Accounting Principles and
Policies
113 Notes to the Income Statement
121 Notes to the Statement
of Comprehensive Income
122
Notes to the Balance Sheet
147 Other Disclosures
163 Segment Information