Yinson Annual Report 2018

35. TAX (CONTINUED) (b) Deferred tax liabilities Group 2018 2017 RM’000 RM’000 At 1 February 5,450 26,773 Acquisition of a subsidiary 16 – Recognised in profit or loss (Note 13) (5,214) (21,656) Under provision in prior year (Note 13) – 2 Exchange differences (210) 331 At 31 January 42 5,450 The components and movements of deferred tax liabilities during the financial year are as follows: Accelerated capital allowances and others Total RM’000 RM’000 At 1 February 2016 26,773 26,773 Recognised in profit or loss (21,654) (21,654) Exchange differences 331 331 At 31 January 2017 and 1 February 2017 5,450 5,450 Acquisition of a subsidiary 16 16 Recognised in profit or loss (5,214) (5,214) Exchange differences (210) (210) At 31 January 2018 42 42 As at the reporting date, the Group had unutilised tax losses and unabsorbed capital allowances of approximately RM4,284,000 (2017: RM8,771,000) that are available to offset against future taxable profits of the respective subsidiaries in which these unutilised tax losses and unabsorbed capital allowances arose, for which no deferred tax asset is recognised due to uncertainty of its recoverability. The availability of unutilised tax losses to offset against future taxable profits of the respective subsidiaries in Malaysia are subject to no substantial changes in shareholdings of those subsidiaries under the Income Tax Act, 1967 and guidelines issued by the Malaysia tax authority. The use of tax losses of subsidiaries in other countries are subject to the agreement of the tax authorities of those countries and compliance with certain provisions of the tax legislations of the countries in which the subsidiaries operate. For those subsidiaries that are affected by the uncertain tax position for foreign operation, the critical accounting estimates and judgements are disclosed in Note 5(g). Corporate Overview Stewardship Governance Accountability 169 Yinson Holdings Berhad Annual Report 2018