SOL MELIA ANNUAL REPORT 00 COMP

23 Fiscal Situation
23.1 Taxable income
In accordance with the prevailing legal regulations, tax returns cannot be considered final until they have been inspected by
the tax authorities or the 4-year inspection period has elapsed, which may be extended due to tax inspection proceedings.
In this regard the Group companies are open to tax inspection for the following taxes and years:
CORPORATION TAX YEARS 1996 to 1999
SALARY WITHHOLDINGS FOR INCOME TAX YEARS 1997 to 2000
V.A.T. YEARS 1997 to 2000
CANARY ISLANDS GENERAL TAX YEARS 1997 to 2000
Inmotel Inversiones, S.A. (company absorbed in 1999) has been inspected for individual and consolidated corporation tax
for 1994 to 1997, V.A.T. and withholdings on interest for 1995 to 1997 and for salary income tax withholdings for 1995
to 1998. For this reason, the statute of limitations for inspection of Inmotel Inversiones, S.A. (absorbed company) is only
1998 for corporation tax, V.A.T. and withholdings on interest and 1997 and 1998 for the Canary Islands general tax.
The tax credits derived from tax losses pending set-off are recorded for the amount of the deferred taxes existing at
year-end.
23.2 Deferred tax assets and liabilities
The breakdown of deferred tax assets and liabilities, in thousands of pesetas, is as follows:
(Thousands of pesetas)
CREDITORS
SHORT-TERM LONG-TERM
DEFERRED TAX ON PROFIT 401,565 12,216,954
TOTAL 401,565 12,216,954
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A NNUAL R EPORT 2000
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