TD Bank 2014 Annual Report Download - page 200

TD BANK GROUP ANNUAL REPORT 2014 FINANCIAL RESULTS198
Deferred tax assets and liabilities are comprised of the following.
Deferred Tax Assets and Liabilities
(millions of Canadian dollars) As at
October 31 October 31
2014 2013
Consolidated Consolidated
Balance Balance
Sheet Sheet
Deferred tax assets
Allowance for credit losses $ 582 $ 557
Land, buildings, equipment, and other depreciable assets 7 –
Deferred (income) expense 30 43
Trading loans 124 131
Derecognition of financial assets and liabilities 88 176
Employee benefits 695 688
Pensions 367 77
Losses available for carry forward 256 313
Tax credits 357 360
Other 123 321
Total deferred tax assets1 2,629 2,666
Deferred tax liabilities
Securities 612 789
Intangibles 287 382
Goodwill 9 7
Land, buildings, equipment, and other depreciable assets – 9
Total deferred tax liabilities 908 1,187
Net deferred tax assets 1,721 1,479
Reflected on the Consolidated Balance Sheet as follows:
Deferred tax assets 2,008 1,800
Deferred tax liabilities2 287 321
Net deferred tax assets $ 1,721 $ 1,479
The movement in the net deferred tax asset for the years ended
October 31 was as follows:
Deferred Income Tax Expense (Recovery)
(millions of Canadian dollars) 2014
2013
Consolidated Other Business Consolidated Other Business
Statement of Comprehensive Combinations Statement of Comprehensive Combinations
Income Income and Other Total Income Income and Other Total
Deferred income tax expense
(recovery)
Allowance for credit losses $ (25) $ – $ – $ (25) $ (25) $ – $ – $ (25)
Land, buildings, equipment,
and other depreciable assets (16) – – (16) 17 – – 17
Deferred (income) expense 13 – – 13 34 – – 34
Trading loans 7 – – 7 61 – – 61
Derecognition of financial
assets and liabilities 74 14 – 88 74 (55) – 19
Goodwill 2 – – 2 13 – – 13
Employee benefits (5) (2) – (7) 12 – – 12
Losses available for carry
forward 57 – – 57 (28) – – (28)
Tax credits 3 – – 3 (176) – – (176)
Other deferred tax assets 202 – (4) 198 (11) – (18) (29)
Securities (87) (90) – (177) (265) (337) – (602)
Intangible assets (95) – – (95) (91) – 61 (30)
Pensions (99) (191) – (290) 15 171 (3) 183
Total deferred income tax
expense (recovery) $ 31 $ (269) $ (4) $ (242) $ (370) $ (221) $ 40 $ (551)
Certain taxable temporary differences associated with the Bank’s
investments in subsidiaries, branches and associates, and interests
in joint ventures did not result in the recognition of deferred tax
liabilities as at October 31, 2014. The total amount of these temporary
differences was $37 billion as at October 31, 2014 (October 31,
2013 – $30 billion).
1
The amount of temporary differences, unused tax losses, and unused tax credits
for which no deferred tax asset is recognized on the Consolidated Balance Sheet
was $18 million as at October 31, 2014 (October 31, 2013 – $37 million), of which
$8 million (October 31, 2013 – $5 million) is scheduled to expire within five years.
2
Included in Other liabilities on the Consolidated Balance Sheet.