28. Taxes

Million CHF

2015

20141

1

Restated due to changes in accounting policies, see note 2.

Current taxes

(924)

(545)

Deferred taxes

143

(37)

Total

(781)

(581)

Reconciliation of tax rate

 

2015

20141

1

Restated due to changes in accounting policies, see note 2.

Net (loss) income before taxes

(684)

 

2,201

 

Group’s weighted average tax income (charge)/rate

168

+25%

(562)

+26%

 

 

 

 

 

Effect of non-deductible items

(391)

–57%

(70)

+3%

Effect of non-taxable items

234

+34%

113

–5%

Effect of non-recoverable withholding tax

(206)

–30%

(120)

+5%

Effect from unrecognized tax losses and deferred tax asset write-offs

(651)

–95%

(63)

+3%

Other effects

65

+10%

120

–5%

Group’s effective income tax (charge)/rate

(781)

–114%

(581)

+26%

The Group’s weighted average tax rate is calculated based on profits (losses) before taxes of Group companies. The difference between expected and effective tax rate relates mainly to impairments of assets without recognition of deferred taxes, non tax-deductible goodwill impairments and changes in unrecognized tax losses carryforward.

Change in deferred tax asset and liabilities

Million CHF

Property, plant and equipment

Intangible and other long-term assets

Provisions

Other

Tax losses carryforward

Total

1

Restated due to changes in accounting policies, see note 2.

2015

 

 

 

 

 

 

Deferred tax liabilities net as at January 1, 2015

2,165

163

(354)

(190)

(914)

869

Charged (credited)

 

 

 

 

 

 

– to the statement of income

(250)

(184)

41

104

146

(143)

– to other comprehensive income

 

44

(22)

(42)

 

(20)

Merger with Lafarge (see note 4)

3,356

98

(564)

53

(311)

2,632

Other change in structure

(164)

 

28

(197)

117

(216)

Currency translation effects

(161)

3

5

42

64

(46)

Deferred tax liabilities net as at December 31, 2015

4,946

124

(866)

(229)

(898)

3,077

 

 

 

 

 

 

 

20141

 

 

 

 

 

 

Deferred tax liabilities net as at January 1, 2014

2,043

166

(314)

(180)

(835)

880

Charged (credited)

 

 

 

 

 

 

– to the statement of income

(1)

(3)

15

58

(32)

37

– to other comprehensive income

 

 

(35)

(51)

 

(86)

Change in structure

(6)

 

 

(5)

(45)

(57)

Currency translation effects

129

1

(20)

(13)

(1)

96

Deferred tax liabilities net as at December 31, 2014

2,165

163

(354)

(190)

(914)

869

Reflected in the statement of financial position as follows:

Million CHF

2015

20141

1

Restated due to changes in accounting policies, see note 2.

Deferred tax assets

(764)

(527)

Deferred tax liabilities

3,840

1,396

Deferred tax liabilities net

3,077

869

Temporary differences for which no deferred tax is recognized

Million CHF

2015

2014

On unremitted earnings of subsidiary companies (taxable temporary difference)

653

9,465

Tax losses carryforward

 

Losses carryforward

Tax effect

Losses carryforward

Tax effect

Million CHF

2015

2015

20141

20141

1

Restated due to changes in accounting policies, see note 2.

Total tax losses carryforward

10,673

3,109

4,682

1,415

Of which reflected in deferred taxes

(3,092)

(898)

(2,861)

(914)

Total tax losses carryforward not recognized

7,581

2,211

1,820

502

Expiring as follows:

 

 

 

 

1 year

73

17

9

2

2 years

83

19

17

5

3 years

69

16

64

15

4 years

51

12

39

9

5 years

83

19

26

6

Thereafter

7,221

2,128

1,665

465

The increase in total tax losses carryforward not recognized relates largely to the merger with Lafarge.