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82
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS UNILEVER GROUP continued
6B. Deferred tax continued
At the balance sheet date, the Group has unused tax losses of €1,568 million (2010: €1,515 million) and tax credits amounting to
€39million (2010: €78 million) available for offset against future taxable profits. Deferred tax assets have not been recognised in
respect of unused tax losses of €1,191 million (2010: €1,109 million) and tax credits of €38 million (2010: €78 million), asit is not
probable that there will be future taxable profits within the entities against which the losses can be utilised. The majority of these tax
losses and credits arise in tax jurisdictions where they do not expire with the exception of €512 million (2010: €524 million) of state
and federal tax losses in the US which expire between now and 2031.
Other deductible temporary differences of €58 million (2010: €83 million) have not been recognised as a deferred tax asset. There is no
expiry date for these differences.
At the balance sheet date, the aggregate amount of temporary differences associated with undistributed earnings of subsidiaries for
which deferred tax liabilities have not been recognised was €1,443 million (2010: €1,633 million). No liability has been recognised in
respect of these differences because the Group is in a position to control the timing of the reversal of the temporary differences, and it
is probable that such differences will not reverse in the foreseeable future.
Deferred income tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against
current tax liabilities and when the deferred income taxes relate to the same fiscal authority. The following amounts, determined after
appropriate offsetting, are shown in the consolidated balance sheet:
Deferred tax assets and liabilities
€ million
Assets
2011
€ million
Assets
2010
€ million
Liabilities
2011
€ million
Liabilities
2010
€ million
Total
2011
€ million
Total
2010
Pensions and similar obligations 555 556 193 (116) 748 440
Provisions 419 537 242 164 661 701
Goodwill and intangible assets (612) (475) (1,109) (647) (1,721) (1,122)
Accelerated tax depreciation (129) (238) (539) (302) (668) (540)
Tax losses 69 71 31 46 100 117
Fair value gains (1) (18) (19) (7) (20) (25)
Fair value losses 27 1 4 12 31 13
Share-based payments 63 120 55 – 118 120
Other 30 53 17 (30) 47 23
421 607 (1,125) (880) (704) (273)
Of which deferred tax to be recovered/(settled) after
more than 12 months 163 296 (1,131) (957) (968) (661)
6C. Tax on other comprehensive income
Income tax is recognised in other comprehensive income for items recognised directly in equity.
Tax effects of the components of other comprehensive income were as follows:
€ million
Before
tax
2011
€ million
Tax
charge/
credit
2011
€ million
After
tax
2011
€ million
Before
tax
2010
€ million
Tax
charge/
credit
2010
€ million
After
tax
2010
Fair value gains/(losses) on financial instruments (194) 26 (168) 41 2 43
Actuarial gains/(losses) on pension schemes (1,691) 448 (1,243) 158 (53) 105
Currency redistribution gains/(losses) (713) 10 (703) 460 – 460
Unilever Annual Report and Accounts 2011
Financial statements