Big Lots 2012 Annual Report Download - page 147

67
BIG LOTS, INC. AND SUBSIDIARIES
Notes to Consolidated Financial Statements (Continued)
Note 9 — Income Taxes (Continued)
Deferred taxes reflect the net tax effects of temporary differences between carrying amounts of assets
and liabilities for financial reporting purposes and the amounts used for income tax, including income tax
uncertainties. Significant components of our deferred tax assets and liabilities were as follows:
February 2,
2013
January 28,
2012
(In thousands)
Deferred tax assets:
Workers’ compensation and other insurance reserves . . . . . . . . . . . . . . . . $ 34,118 $ 28,998
Accrued rent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,681 26,516
Non-U.S. net operating losses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,098 19,019
Compensation related. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,351 28,788
Uniform inventory capitalization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,654 20,289
Depreciation and fixed asset basis differences. . . . . . . . . . . . . . . . . . . . . . 11,475 10,695
Accrued state taxes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,931 7,779
Pension plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,315 4,467
State tax credits, net of federal tax benefit. . . . . . . . . . . . . . . . . . . . . . . . . 3,547 3,390
Accrued operating liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,325 3,023
State tax net operating losses, net of federal tax benefit . . . . . . . . . . . . . . 373 710
KB store lease and other discontinued operations contingencies . . . . . . . 1,218 1,474
Other. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23,534 24,366
Valuation allowances - primarily related to Non-U.S. operations . . . . . . . (24,965) (20,392)
Total deferred tax assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 157,655 159,122
Deferred tax liabilities:
Accelerated depreciation and fixed asset basis differences . . . . . . . . . . . . 76,509 70,569
Lease construction reimbursements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,203 13,584
Workers’ compensation and other insurance reserves . . . . . . . . . . . . . . . . 6,922 —
Prepaid expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,427 5,695
Compensation related. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,701 5,401
Other. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13,890 14,540
Total deferred tax liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 122,652 109,789
Net deferred tax assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 35,003 $ 49,333
Net deferred tax assets are shown separately on our consolidated balance sheets as current and non-current
deferred income taxes. The following table summarizes net deferred income tax assets from the consolidated
balance sheets:
February 2, 2013 January 28, 2012
(In thousands)
Current deferred income taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $37,696 $42,784
Noncurrent deferred income taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (2,693) 6,549
Net deferred tax assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $35,003 $49,333
Based on the weight of currently available evidence, we have fully reduced the amount of net deferred
income tax assets (including a net operating loss carryforward) of Big Lots Canada, Inc. (see note 11), as
well as the deferred tax benefit of the loss generated by our Canadian segment since the acquisition, by a
valuation allowance.