CELEBİ 2021 ANNUAL REPORT

124 Çelebi Ground Handling Inc. 2022 Annual Report NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31 DECEMBER 2022 ÇELEBİ HAVA SERVİSİ ANONİM ŞİRKETİ AND ITS SUBSIDIARIES (Amounts expressed in Turkish Lira (“TL”) unless otherwise indicated.) Deferred taxes The Group calculates deferred tax assets and liabilities on temporary differences on statement of financial position items arising from different evaluation of financial statements prepared in accordance with TAS and statutory accounting standards. In general, such temporary differences are resulted from accounting of income and expenses in different reporting periods in accordance with Tax laws and TAS accounting standards. Rates for deferred tax assets and liabilities calculated by liability method over temporary differences to be realized in future periods are 20%, 9%, 31,925% and 25,17% for Turkey, Hungary, Germany and India, respectively. The details of cumulative temporary differences and the related deferred tax assets and liabilities calculated with currently enacted tax rates as at 31 December 2022 and 2021 are as follows: Deferred tax assets Total temporary differences (liabilities) 31 December 31 December 31 December 31 December 2022 2021 2022 2021 Deferred tax assets Personnel bonus accrual (7.127.060) (7.127.065) 1.425.412 1.639.225 Accrued sales commissions (62.898.275) (22.159.939) 12.579.655 5.096.786 Provision for employment termination benefits (91.158.560) (35.006.953) 18.319.742 7.061.027 Provision for unused vacation rights (16.404.015) (8.529.739) 3.280.803 1.961.840 Provision for litigation and indemnity (8.995.985) (6.641.030) 1.799.197 1.527.437 Adjustments related to property plant and equipment and intangible assets (338.237.990) (246.589.798) 86.680.356 62.367.605 Investment incentives (120.194.455) (175.460.540) 24.038.891 35.092.107 Deferred tax asset calculated over unused previous years’ losses (247.056.923) (178.385.549) 79.025.120 57.078.802 Adjustments related with TFRS 16 (450.277.924) (329.821.517) 85.157.166 64.264.030 Other (127.587.624) (88.535.944) 28.029.230 20.079.475 340.335.572 256.168.334 Deferred tax assets 340.335.572 256.168.334 Deferred tax liabilities Adjustments related to property, plant and equipment and intangible assets 575.731.893 391.512.286 (113.448.241) (79.162.260) Other 43.456.585 27.636.357 (8.691.315) (6.298.176) (122.139.556) (85.460.436) Deferred tax liabilities (122.139.556) (85.460.436) Deferred tax assets, net 218.196.016 170.707.898