Integrated Report 2020

95/112

2. The significant components of deferred tax assets and liabilities as of March 31, 2020 and 2019 were as follows: Millions of yen Thousands ofU.S. dollars202020192020Deferred tax assets:Accrued bonuses¥   717¥   728 $   6,595Accrued enterprise taxes1481181,361Operating loss carryforwards (Note 2)1,2821,21511,780Net defined benefit liability5,0064,46745,999Retirement benefit trust4326533,973Research and development cost5746305,282Net unrealized holding loss on securities15―146Foreign tax credit carryforwards4555604,182Loss on valuation of inventories3173002,916Allowance for doubtful accounts1281521,179Unrealized gain4063563,735Excess of depreciation expense3512523,234Other7095846,520 Gross deferred tax assets10,54610,02096,909Valuation allowance related to operating loss carryforwards (Note 2)(1,270)(1,212)(11,675)Valuation allowance related to total deductible temporary differences(1,236)(1,121)(11,361) Valuation allowance (Note 1)(2,507)(2,333)(23,036)8,0397,68673,872Deferred tax liabilities:Revaluation of fixed assets in accordance with special tax measures(170)(176)(1,567)Net unrealized holding gain on securities―(128)―Depreciation expense of subsidiaries(2)(1)(24)Dividend income from consolidated subsidiaries(291)(371)(2,675)Other(35)(30)(322)(499)(709)(4,589) Net deferred tax assets¥ 7,540¥ 6,977$ 69,282Note 1: The valuation allowance has increased by ¥173 million (U.S.$1,591 thousand), due to additional recognitions of ¥58 million (U.S.$534 thousand) for operating loss carryforwards and ¥137 million (U.S.$1,260 thousand) for excess of depreciation expense in its consolidated subsidiaries.Note 2: Amounts of operating loss carryforwards and related deferred tax assets by operating loss carryforwards for the year ended March 31, 2020 were as follows:Millions of yen2020Within 1 yearOver 1 year within 2 yearsOver 2 years within 3 yearsOver 3 years within 4 yearsOver 4 years within 5 yearsOver 5 yearsTotalOperating loss carryforwards¥ 12¥ 145¥ 64¥ 140¥ 25¥ 893¥ 1,282Valuation allowance(12)(145)(64)(140)(25)(881)(1,270)Deferred tax assets¥ ―¥  ―¥ ―¥  ―¥ ―¥  11¥    11Thousands of U.S. dollars2020Within 1 yearOver 1 year within 2 yearsOver 2 years within 3 yearsOver 3 years within 4 yearsOver 4 years within 5 yearsOver 5 yearsTotalOperating loss carryforwards$ 110$ 1,340$ 592$ 1,292$ 237$ 8,206$ 11,780Valuation allowance(110)(1,340)(592)(1,292)(237)(8,100)(11,675)Deferred tax assets$  ―$    ―$  ―$    ―$  ―$  105$   105Note: Figures for operating loss carryforwards was the amounts multiplied by statutory tax rate.Millions of yen2019Within 1 yearOver 1 year within 2 yearsOver 2 years within 3 yearsOver 3 years within 4 yearsOver 4 years within 5 yearsOver 5 yearsTotalOperating loss carryforwards¥ 56¥ 52¥ 201¥ 41¥ 0¥ 863¥ 1,215Valuation allowance(56)(52)(201)(41)(0)(859)(1,212)Deferred tax assets¥ ―¥ ―¥   ―¥ ―¥―¥   3¥     3Note: Figures for operating loss carryforwards was the amounts multiplied by statutory tax rate.LINTEC Integrated Report 2020FoundationStrategyOverviewFinancial Information93