EDC PR 2016 (FS section)

Beginning of
Year
Charged to
Income
2015
Charged to
OCI
End of Year
Deferred income tax liabilities on:
Differences in fair value versus cost of property, plant
and equipment (₱875,075,446) ₱10,210,886 ₱– (₱864,864,560)
Capitalized rehabilitation and restoration costs (45,801,559) (6,263,813) – (52,065,372)
Difference in fair value versus cost of inventories (15,556,838) 866,659 – (14,690,179)
Unrealized foreign exchange gains (3,249,344) (3,478,463) – (6,727,807)
Others (67,692,621) – – (67,692,621)
(1,007,375,808) 1,335,269 – (1,006,040,539)
₱1,047,365,430 ₱57,862,989 ₱14,863,493 ₱1,120,091,912
The deferred tax assets and liabilities are presented in the statements of financial position as
follows:
2016 2015
Deferred tax assets - net ₱1,121,224,771 ₱1,120,091,912
Deferred tax liabilities 32,496,386 –
₱1,088,728,385 ₱1,120,091,912
b.
As of December 31, 2016, the Company has NOLCO that can be claimed as deductions
against future taxable income as follows:
Incurred for Year
Ended December 31
Available Until
December 31 Available Balance MCIT
2014 2017 ₱592,082,141 ₱14,346,091
2015 2018 208,170 17,525,139
2016 2019 1,037,129 10,727,475
₱593,327,440 ₱42,598,705
Movements of the Company’s NOLCO are as follows:
2016 2015
Balances at January 1 ₱978,406,024 ₱1,005,661,701
Application (245,740,004) (27,254,677)
Expired (139,338,580) –
Balances at December 31 ₱593,327,440 ₱978,407,024
As of December 31, 2016 and 2015, no deferred tax asset was recognized for NOLCO
amounting to ₱593.3 million and ₱978.4 million, respectively, pertaining to losses subject to
the 30% tax regime, as management does not expect any taxable income at the 30% tax
regime where the applicable NOLCO can be claimed as a deduction.
260
I Energy Development Corporation Performance Report 2016