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7 Income taxes

7 Income taxes
    2011 2012
  CHF thousands    
       
  Income taxes charged to the income statement    
  Current income taxes 34,835 24,169
  Deferred income taxes -10,938 -3,908
  Total 23,897 20,261
       
  Income taxes charged to other comprehensive income 358 360
       
  The reconciliation between the actual tax burden and the expected tax charge for the years ending 31 December 2011 and 31 December 2012 is as follows:    
       
  Transitional statement    
  Profit before income taxes 78,075 51,122
  Income tax rate parent company 16.7% 16.7%
       
  Income taxes at expected income tax rate 13,023 8,527
  Tax effect from non-tax-deductible expenses 8,422 3,589
  Tax effect from income taxed at other rates 8,667 5,025
  Tax effect from tax-free income -5,910 -3,731
  Subsequent capitalisation of previously unrecognised deferred taxes on tax-loss carryforwards -1,261 -
  Expired tax-loss carryforwards for which deferred tax assets were recognised 156 -
  Tax losses in the current year for which no deferred tax assets were recognised 754 1,142
  Tax losses charged for which no deferred tax assets were recognised -195 -480
  Value adjustment of previously capitalised tax-loss carryforwards - 1,750
  Tax rate revision Italy1) -313 -
  Regional production tax - Italy (IRAP) 3,307 3,698
  Tax burden/relief subsequently recognised for previous years -2,770 848
  Other 17 -107
  Income taxes charged to the income statement 23,897 20,261
       
  Effective income tax rate 30.6% 39.6%

1)In Italy the surcharge (IRES) was increased, limited to the years 2011, 2012 and 2013.

Deferred income taxes by origin of difference 31.12.2011 31.12.2012
CHF thousands    
     
Assets    
Property, plant and equipment 4,380 4,701
Other non-current assets 13,915 8,412
Current assets 7,183 10,002
Provisions 3,453 1,375
Liabilities 15,918 21,236
Loss carryforwards / tax credits 5,235 5,505
Total 50,084 51,231
     
Liabilities    
Property, plant and equipment 52,550 49,435
Other non-current assets 1,834 1,728
Current assets 14,032 17,419
Provisions 14,025 12,608
Liabilities 1,088 2,283
Total 83,529 83,473
     
Of which the following are disclosed in the balance sheet as:    
Deferred tax assets -25,430 -23,095
Deferred tax liabilities 58,875 55,337
Net deferred income tax liabilities 33,445 32,242
CHF thousands Property, plant and equipment Other non-current assets Current assets Provisions Liabilities Loss carryforwards tax credits Total
Change in deferred taxes 2012 by category              
               
Opening balance 2012 -48,170 12,081 -6,849 -10,572 14,830 5,235 -33,445
Change due to an acquisition - - - - - - -
Change due to a sale - -264 - - - -21 -285
Change via the income statement 2,067 -1,855 -1,101 -644 4,515 926 3,908
Reported as "Assets/liabilities held for sale" 1,390 -3,260 553 - -2 -400 -1,719
Changes in other comprehensive income - - - - -360 - -360
Translation differences -21 -18 -20 -17 -30 -74 -180
Other1) - - - - - -161 -161
Closing balance 2012 -44,734 6,684 -7,417 -11,233 18,953 5,505 -32,242
  Property, plant and equipment Other non-current assets Current assets Provisions Liabilities Loss carryforwards tax credits Total
Change in deferred taxes 2011 by category              
               
Opening balance 2011 -60,692 8,532 -16,446 -15,735 29,924 1,478 -52,939
Change due to an acquisition - - - - - - -
Change due to a sale - - - - - - -
Change via the income statement 2,526 3,576 9,593 5,244 -14,483 4,482 10,938
Reported as "Liabilities held for sale" 10,076 - - - - - 10,076
Changes in other comprehensive income - - - - -358 - -358
Translation differences -80 -27 4 -81 -253 -119 -556
Other1) - - - - - -606 -606
Closing balance 2011 -48,170 12,081 -6,849 -10,572 14,830 5,235 -33,445

1) Transfer of loss carryforwards within the Italian tax group which were booked as a reduction in the current tax receivable in the tax group.

Tax loss carryforwards

On 31 December 2012, individual Group companies had tax loss carryforwards of TCHF 42,620 (previous year: TCHF 31,351) which they can charge in future periods as taxable profit. Deferred tax assets are recognised only to the extent that it is probable that the tax credits can be realised. On the balance sheet date the Group had unrecognised tax loss carryforwards of TCHF 19,333 (previous year: TCHF 6,726), since the future utilisation of these amounts for tax purposes is not probable. The increase this year was the result of new losses in the current financial year and a value adjustment of previously capitalised deferred taxes on tax-loss carryforwards from previous years. These are due on the following dates:

Unrecognised tax-loss carryforwards 31.12.2011 31.12.2012
CHF thousands    
     
Due within 1 year - 12
Due in 1-3 years 319 1,191
Due in 3-7 years 5,293 15,443
Due after 7 years or no due date 1,114 2,687
Total 6,726 19,333