Reebok 2014 Annual Report Download - page 241

adidas Group
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2014 Annual Report
Consolidated Financial Statements
237
2014
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04.8
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Notes
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Notes to the Consolidated Income Statement
Gross Group deferred tax assets and liabilities after valuation allowances, but before appropriate offsettings, are
attributable to the items detailed in the table below:
Deferred taxes
(€ in millions) Dec. 31, 2014 Dec. 31, 2013
Non-current assets 183 145
Current assets 197 166
Accrued liabilities and provisions 250 198
Accumulated tax loss carry-forwards 92 69
Deferred tax assets 722 578
Non-current assets 363 303
Current assets 102 72
Accrued liabilities and provisions 69 55
Deferred tax liabilities 534 430
Deferred tax assets, net 186 148
Deferred tax assets are recognised only to the extent that the realisation of the related benefit is probable. For
the assessment of probability, in addition to past performance and the respective prospects for the foreseeable
future, appropriate tax structuring measures are also taken into consideration.
Deferred tax assets for which the realisation of the related tax benefits is not probable increased from
€ 435 million to € 524 million for the year ending December 31, 2014. These amounts mainly relate to tax losses
carried forward and unused foreign tax credits of the US tax group, which begin to expire in 2026. The remaining
unrecognised deferred tax assets relate to subsidiaries operating in markets where the realisation of the related
tax benefit is not considered probable.
The Group does not recognise deferred tax liabilities for unremitted earnings of non-German subsidiaries
to the extent that they are expected to be permanently invested in international operations. These earnings, the
amount of which cannot be practicably computed, could become subject to additional tax if they were remitted as
dividends or if the Group were to sell its shareholdings in the subsidiaries.
Tax expenses
Tax expenses are split as follows:
Income tax expenses (continuing operations)
(€ in millions) Year ending
Dec. 31, 2014
Year ending
Dec. 31, 2013
Current tax expenses 315 354
Deferred tax income (43) (14)
Income tax expenses 271 340
The deferred tax income includes tax income of € 24 million in total (2013: € 25 million) related to the origination
and reversal of temporary differences.