97
Deductions applied by the consolidated tax group of the Parent Company
The deductions generated during the year are essentially due to double taxation. 2014 marked the end of the compensation period of the €9 million
deduction to avoid double taxation generated in 2006.
At 31 December 2014, the Tax Group held the following tax credit carry-forward (€thousand):
Year Origin
Deduction pending application
Amount
2002 to 2010
Investment in export activity
29,047
2007 to 2013
Tax deduction to avoid double taxation
12,222
2002 to 2013
Other
1,279
42,548
Similarly, the consolidated tax group of the Parent Company took advantage in prior years of the “Deferral of extraordinary profits for reinvestment”
scheme. The essential characteristics of such reinvestment are as follows (€thousand):
Amount offset
Year of origin
Revenue Qualifying
for deferral
Previous years
Year 2014
Amount Outstanding Last year of deferral
1999
75,145
50,757
682
23,706
2049
This income was reinvested in the acquisition of buildings.
Revenue from previous year written off for the reinvestment of extraordinary profits in accordance with the provisions set forth in Section 42 of the
Consolidated Text of the Corporation Tax Act is shown below (€thousand).
Financial year
Date of transmission Revenue deferred
Deduction
Company generating the
capital gain
Company reinvesting
Applied
Outstanding
2008
June
1,583
-
190
Gran Círculo de Madrid, S.A.
NH Europa, S.L.
The capital gains obtained in 2008 were re-invested in 2009 through the Group’s acquisition of new shares in the Italian subsidiary through NH
Europa, S.L., formerly “NH Hotel Rallye, S.A.”. These shares were issued as a result of a capital increase of €73 million, allocated to acquiring new
hotels and refurbishing existing ones, with an obligation to maintain the investment during a three-year period.
Negative tax bases
At 31 December 2014, the Consolidated Tax Group headed by NH Hotel Group, S.A. has the following tax loss carry-forwards:
Financial year
Amount
2007
8,992
2008
17,711
2009
91,223
2010
50,107
2011
23,706
2012
156,689
2013
31,213
2014
49,316
Total
428,958
The exit of Sotogrande, S.A., Resco Sotogrande, S.L. and Club Deportivo Sotogrande, S.A. from the Tax Group means an estimated reduction in tax
loss carry-forwards of €68 million.
REPORT ON THE CONSOLIDATED FINANCIAL STATEMENTS
