KB prezent. angl - Komerční banka

Other provisions are composed of the following balances:
CZK million 1 January Creation Release Foreign exchange 31 December
2003 difference 2003
Restructuring provision 321 242 (371) 0 192
Provisions for contracted commitments 3,610 1,637 (1,398) (4) 3,845
Total 3,931 1,879 (1,769) (4) 4,037
Provisions for contracted commitments principally comprise the provision for outstanding vacation days, legal disputes, termination of
rental agreements, the provision for bonuses and technical reserve for life and non-life insurance in the amount of CZK 2,450 million
(2002: CZK 2,674 million CZK).
31. Deferred income taxes
Deferred income taxes are calculated from all temporary differences between tax bases and carrying values using tax rates effective
in the periods in which the temporary tax difference is expected to be realised, that is, 28 percent for 2004 (Slovakia: 25 percent),
26 percent for 2005, and 24 percent for 2006 onwards (2002 to 2003: 31 percent; Slovakia: 25 percent).
Deferred income tax assets and liabilities are attributable to the following items:
CZK million 2003 2002
Deferred income tax assets 510905
Depreciation 9 32
Unrealised losses on securities 22 1
Banking reserves and provisions 16 122
Provisions for non-banking receivables 64 51
Provisions for assets 179 343
Non-banking reserves 189 363
Loss brought forward from previous periods 206 258
Other temporary differences 61 98
Adjustment for uncertain realisation of tax asset (236) (363)
Deferred tax liabilities (679) (1,168)
Depreciation (33) (49)
Leases (25) (18)
Change in fair value of hedging derivatives – equity impact (596) (1,077)
Other temporary differences (25) (24)
Net deferred income tax assets/(liabilities) (169) (263)
Deferred tax recognised in the financial statements:
CZK million 2003 2002
Deferred tax asset
Balance at the beginning of period 905 0
Movement in deferred tax assets (395) 905
Balance at the end of period 510905
Deferred tax liability
Balance at the beginning of period (1,168) (664)
Consolidation adjustments of deferred taxes (transfer) 0 24
Movement in deferred tax liabilities – profit and loss impact 9 158
Movement in deferred tax liabilities – equity impact 480 (686)
Balance at the end of period (679) (1,168)
Increase/(decrease) in deferred tax – profit and loss impact (386) 1,063
Increase/(decrease) in deferred tax – equity impact 480(686)