Chrysler 2011 Annual Report Download - page 288

287
Fiat S.p.A. - Statutory
Financial Statements
at 31 December 2011
The permanent differences referred to above include, among other things, the tax effect of non-taxable income amounting to €198,735 thousand in 2011
(€183,506 thousand in 2010) and of non-deductible costs amounting to €64,783 thousand in 2011 (€34,917 thousand in 2010). In particular, for 2011 the
tax effect of non-taxable income was principally attributable to dividends (€101,408 thousand vs. €112,004 thousand in 2010) and impairment reversals
on investments (€96,815 thousand). Non-deductible costs principally included impairment losses on investments whose tax effect was €53,515 thousand
(€28,682 thousand in 2010).
A breakdown of deferred tax liabilities, net of deferred tax assets, is provided in the following table:
(€ thousand)
31 December
2010
Recognized
in income
statement
Charged to
equity
31 December
2011
Deferred tax assets arising from:
- Taxed provisions and other minor differences 7,785 22,310 - 30,095
Total deferred tax assets 7,785 22,310 - 30,095
Deferred tax liabilities arising from:
- Measurement of construction contracts by the percentage completion method (47,010) (1,347) - (48,357)
- Others (385) (399) - (784)
Total deferred tax liabilities (47,395) (1,746) - (49,141)
Theoretical tax benefit arising from tax loss carryforwards 59,842 79,056 - 138,898
Adjustments for assets whose recoverability is not probable (27,232) (100,765) - (127,997)
Total deferred tax liabilities, net of deferred tax assets (7,000) (1,145) - (8,145)
Determination of deferred tax assets is based on an analysis of the existence of the conditions for their future realization, using updated strategic plans
and related tax plans. As a consequence, the total theoretical future tax benefit arising from deductible temporary differences (€30,095 thousand at 31
December 2011 and €7,785 thousand at 31 December 2010) and tax loss carryforwards (€138,898 thousand at 31 December 2011 and €59,842
thousand at 31 December 2010) was reduced by €127,997 thousand at 31 December 2011 (€27,232 thousand at 31 December 2010).
Total temporary differences (deductible and taxable) and tax losses at 31 December 2011 and amounts for which deferred tax assets have not been
recognized, broken down by year of expiry, are as follows:
Year of expiry
(€ thousand)
Total at
31 December
2011 2012 2013 2014 2015
Beyond
2015
Non-expiring/
undeterminable
Temporary differences and tax losses relating to IRES:
- Deductible temporary differences 109,437 26,688 687 50,041 687 31,334 -
- Taxable temporary differences (149,076) (146,224) - - - (2,852) -
- Tax losses 505,083 - - - - - 505,083
- Temporary differences and tax losses for which deferred tax assets have
not been recognized (465,444) - (687) (50,041) (687) (28,482) (385,547)
Temporary differences and tax losses subject to national taxation -(119,536) 119,536
Temporary differences relating to IRAP: -
- Deductible temporary differences ------ -
- Taxable temporary differences (146,225) (146,225) - - - - -
Temporary differences and tax losses subject to local taxation (146,225) (146,225) ---- -