PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2013 AND 2012
Expressed in millions of Rupiah, unless otherwise stated
Appendix 5104 33. TAXATION continued
e. Deferred tax assets - net Deferred tax arises from temporary differences between book value based on commercial and tax
calculation are as follows:
2013
Beginning balance
Credited charged to
consolidated statement of
comprehensive income
Charged to equity
Ending balance
Bank Mandiri Deferred tax assets:
Loans write-off until 2008 1,707,651
221,648 -
1,486,003 Allowance for impairment loan losses
850,527 69,206
- 919,733
Allowance for impairment losses on financial assets other than loans
296,370 83,422
- 379,792
Provision for post-employment benefit expense, provision for bonuses, leave and holiday THR entitlements
720,872 143,599
- 864,471
Allowance for estimated losses arising from legal cases 112,496
13,282 -
125,778 Estimated losses on commitments and contingencies
37,223 2,339
- 39,562
Allowance for possible losses on abandoned properties 33,940
3,911 -
30,029 Allowance for possible losses on repossessed assets
1,994 -
- 1,994
Accumulated losses arising from difference in net realisable value of abandoned properties
2,069 1,880
- 189
Accumulated losses arising from difference in net realisable value of repossessed assets
1,969 -
- 1,969
Unrealised losses on increasedecrease in fair value of marketable securities and
Government Bonds available for sale 101,158
- 246,370
347,528
Deferred tax assets 3,866,269
84,409 246,370
4,197,048 Deferred tax liabilities:
Unrealised gain on BOT transactions 54,590
3,119 -
57,709 Unrealised gainlosses on increasedecrease in
fair value of marketable securities and Government Bonds fair value through profit or loss
1,102 1,210
- 108
Net book value of fixed assets 33,466
12,215 -
45,681
Deferred tax assets - Bank Mandiri only 3,777,111
70,285 246,370
4,093,766
Net deferred tax assets - Subsidiaries
189,502 228,732
Total consolidated deferred tax assets - net 3,966,613
4,322,498
PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2013 AND 2012
Expressed in millions of Rupiah, unless otherwise stated
Appendix 5105 33. TAXATION continued
e. Deferred tax assets - net continued
2012
Beginning balance
Credited charged to
consolidated statement of
comprehensive income
Charged to equity
Ending balance
Bank Mandiri
Deferred tax assets: Loans write-off until 2008
1,883,339 175,688
- 1,707,651
Allowance for impairment loan losses 609,577
240,950 -
850,527 Allowance for impairment losses on financial assets other
than loans 304,215
7,845 -
296,370 Provision for post-employment benefit expense, provision
for bonuses, leave and holiday THR entitlements 539,979
180,893 -
720,872 Allowance for estimated losses arising from legal cases
114,886 2,390
- 112,496
Estimated losses on commitments and contingencies 46,333
9,110 -
37,223 Allowance for possible losses on abandoned properties
33,940 -
- 33,940
Allowance for possible losses on repossessed assets 2,292
298 -
1,994 Accumulated losses arising from difference in
net realisable value of abandoned properties 2,069
- -
2,069 Accumulated losses arising from difference in
net realisable value of repossessed assets 1,973
4 -
1,969 Unrealised losses on increasedecrease in fair value
of marketable securities and Government Bonds available for sale
131,084 -
29,926 101,158
Deferred tax assets 3,669,687
226,508 29,926
3,866,269 Deferred tax liabilities:
Unrealised gain on BOT transactions -
54,590 -
54,590 Unrealised gainlosses on increasedecrease in
fair value of marketable securities and Government Bonds fair value through profit or loss
2,520 1,418
- 1,102
Net book value of fixed assets 18,540
14,926 -
33,466
Deferred tax assets - Bank Mandiri only 3,648,627
158,410 29,926
3,777,111
Net deferred tax assets - Subsidiaries 151,785
189,502 Total consolidated deferred tax assets - net
3,800,412 3,966,613
Deferred tax assets are calculated using applicable tax rate or substantially enacted tax rate at consolidated statement of financial position dates.
Management believes that it is possible that future taxable income will be available against the temporary difference, which results in deferred tax assets, can be utilised.
f. Tax assessment letters
On 6 December 2012, the Bank received Tax Underpayment Assessment Letters SKPKB which stated underpayments of corporate income tax and Value Added Tax VAT and Tax Collection
Letter penalties STP for fiscal year 2010 totalled to Rp1,108,071. Management disagree with the tax assessment result and on 4 March 2013, Bank has submitted a
tax objection letter to the tax office and paid all the tax underpayment which recorded as prepaid tax.
On December 2013, the Tax Office issued a
decision letter to the Bank’s objection letters above and partially accepted the Bank’s objection, therefore the Tax office refunded the prepaid tax
related to value added tax. Bank disagreed with the above decision letter and will submit appeal letters on the above decision letter to the Tax Court.
Until the date of this consolidated financial statements, Bank is still waiting on the results of the objection for SKPKB of Income Taxes.
