Recoverability of Deferred Tax Assets Related to COVID-19
First written in FY2021-Q2. 1 of 7 entries say "Worsened", first in FY2021. Latest entry: FY2026.
The whole theme swung hardest in 2026: 5 of 23 companies on the "Worse" side.
7 other companies' latest entry also says "Other".
- FY2026Deferred tax liability balance updatedAnnual report
「Deferred tax assets (net) － Deferred tax liabilities (net) 22,871 116,344」
The net amount of deferred tax liabilities increased from ¥22.871 million at the end of the previous consolidated fiscal year to ¥116.344 million, while net deferred tax assets remained at zero. - FY2025Changed from net deferred tax assets to net deferred tax liabilitiesAnnual report
「Deferred tax assets (net) 21,951 － Deferred tax liabilities (net) － 22,871」
The reported balance changed from net deferred tax assets of ¥21.951 million to net deferred tax liabilities of ¥22.871 million. - FY2025-H1Updated the deferred tax asset balanceAnnual report
「Deferred tax assets 21,951 33,936」
The net amount of deferred tax assets increased from ¥21.951 million at the end of the previous consolidated fiscal year to ¥33.936 million. - FY2024Updated the deferred tax asset balanceAnnual report
「Deferred tax assets 49,552 21,951」
The net amount of deferred tax assets, whose recoverability is assessed based on future taxable income, declined from ¥49.552 million to ¥21.951 million. - FY2023MitigatedAnnual report
「In addition, after carefully considering the recoverability of deferred tax assets in light of future earnings trends, the company decided to recognize deferred tax assets for the recoverable portion. As a result of recording an income taxes adjustment of negative ¥88 million, total income taxes amounted to negative ¥24 million,」
The company recognized ¥49.552 million of deferred tax assets that it judged recoverable based on earnings trends. It has continued to disclose the potential impact if estimates of future taxable income and other factors differ. - FY2021WorsenedAnnual report
「In assessing the impairment of fixed assets and the recoverability of deferred tax assets, the company made accounting estimates based on the assumption that the impact of the spread of the COVID-19 pandemic would continue for more than 1 year from the current consolidated fiscal year.」
The company estimated the impairment of fixed assets and the recoverability of deferred tax assets based on the assumption that the impact of the infectious disease would continue for more than 1 year from the current fiscal year. The timing of the end of the pandemic remains uncertain, and the company indicated that future losses could arise if the assumption changes. - FY2021-Q2First statedAnnual report
「In assessing the recoverability of deferred tax assets, the company made accounting estimates based on the assumption that the impact of the spread of the COVID-19 pandemic would continue through the end of the current consolidated fiscal year. As a result, the company wrote down ¥33 million of deferred tax assets as of the end of the second quarter of the current consolidated fiscal year. The timing of the end of the COVID-19 pandemic remains uncertain, and if its impact is prolonged and the above assumption is no longer expected to hold, losses may arise in future periods.」
Based on the assumption that the impact of the infectious disease would continue through year-end, the company wrote down ¥33 million of deferred tax assets. The timing of the end of the pandemic remains uncertain, and the company also disclosed the possibility of future losses if the assumption does not hold.