Merck 2010 Annual Report Download - page 165

Deferred tax assets and liabilities correspond to the following balance sheet items:
EUR million
Dec. 31, 2010 Dec. 31, 2009
Assets Liabilities Assets Liabilities
Intangible assets 33.7 1,374.3 31.8 704.2
Property, plant and equipment 15.6 88.1 7.3 68.2
Current and non-current financial assets 5.9 19.3 2.6 15.7
Inventories 305.6 3.7 242.0 5.0
Current and non-current receivables/
Other assets 44.6 2.8 22.4 11.9
Provisions for pensions and other post-
employment benefits 129.7 18.1 87.2 11.9
Current and non-current other provisions 169.4 15.2 172.0 9.4
Current and non-current liabilities 27.8 5.8 17.6 6.1
Tax loss carryforwards 39.2 – 22.8 –
Tax refund claims/Other 58.2 89.8 20.0 11.4
Offset deferred tax assets and liabilities –236.6 –236.6 –80.3 –80.3
Total deferred taxes 593.1 1,380.5 545.4 763.5

Deferred tax liabilities of EUR 16.7 million (2009: EUR 11.4 million) were set up for temporary
differences for interests in subsidiaries. These relate to planned dividend payments. Additionally,
a deferred tax claim of EUR 3.0 million was recognized for the announced divestment of Crop
BioScience. No deferred tax liabilities were recognized for other temporary differences since the
reversal of these differences is not foreseeable.
In addition to deferred tax assets on tax loss carryforwards, deferred tax assets of EUR 553.9 mil-
lion (2009: EUR 522.6 million) were recognized for other temporary differences.
The following table presents the tax reconciliation from theoretical tax expense to tax expense
before exceptional items and tax expense according to the income statement. The theoretical tax
expense is determined by applying the statutory tax rate of 30.7% of a corporation headquartered
in Darmstadt.
Company 161Management Report Corporate governance Consolidated Financial Statements
Notes
More information