GHL System Berhad Annual Report 2018

G H L S y s t e m S B e r h a d ( 2 9 3 0 4 0 - D ) 114 NOT ES TO THE F I NANC I A L STAT EMENTS 3 1 D e c e m b e r 2 0 1 8 C O N T ’ D 19. DEFERRED TAX (cont’d) (b) The components and movements of deferred tax liabilities and assets during the financial year prior to offsetting are as follows (cont’d): Deferred tax assets of the Company Others Total RM RM Balance as at 1 January 2018 (69,277) (69,277) Recognised in profit or loss (60,005) (60,005) Balance as at 31 December 2018 (before offsetting) (129,282) (129,282) Offsetting 129,282 129,282 Balance as at 31 December 2018 (after offsetting) - - Balance as at 1 January 2017 (154,703) (154,703) Recognised in profit or loss 85,426 85,426 Balance as at 31 December 2017 (before offsetting) (69,277) (69,277) Offsetting 69,277 69,277 Balance as at 31 December 2017 (after offsetting) - - (c) The amounts of temporary differences for which no deferred tax assets have been recognised in the statements of financial position are as follows: Group Company 2018 2017 2018 2017 RM RM RM RM Unused tax losses, expired by 31 December 2026 17,569,992 12,242,241 - - Unabsorbed capital allowances 8,991,533 5,944,509 - - Other deductible temporary differences 854,437 830,412 - - 27,415,962 19,017,162 - - Deferred tax assets of certain subsidiaries and of the Company have not been recognised in respect of these items as it is not probable that taxable profits of the subsidiaries and of the Company would be available against which the deductible temporary differences could be utilised. The amount and availability of these items to be carried forward up to the periods as disclosed above are subject to the agreement of the respective local tax authorities.