Deferred taxes on loss carry-forwards and temporary differences amount to €738 million, a decline of €166 million compared with the previous year. At €159 million, the carrying amount of deferred tax liabilities was unchanged from the previous year.

Deferred taxes recognised concern the following balance sheet items:

In accordance with IAS 12 (Income Taxes), deferred taxes relating to differences between the carrying amount of a subsidiary’s pro rata assets and liabilities in the balance sheet and the investment book value for this subsidiary in the parent company’s tax statement must be capitalised (so-called outside basis differences) if the tax benefit is likely to be realised in future. No deferred taxes were recognised for retained earnings of subsidiaries as these earnings will be reinvested over an indefinite period of time or are not subject to relevant taxation. In the financial year, €9 million in deferred tax liabilities from outside basis differences were recognised for planned dividend payments. There were no circumstances leading to a corresponding deferral during the previous year.

No deferred taxes were capitalised for the following tax loss carry-forwards and interest carried forward as well as temporary differences because a short-term realisation is not expected:

The losses primarily concern Germany. They can be carried forward without limitation.