Additional Information on the Consolidated Statement of Financial Position 17. Deferred income tax

Deferred income tax assets and liabilities developed as follows in the fiscal year:

Deferred income tax assets and liabilities (excluding offsetting within individual tax jurisdictions) are as follows:

Deferred income tax assets are recognized for all deductible temporary differences between the carrying amounts of assets and liabilities in the Consolidated Statement of Financial Position and their tax bases to the extent that it is probable that future taxable profit will be available against which the deductible temporary differences can be utilized. Both in the current fiscal year and in the previous year, it was possible to recognize a deferred income tax asset for all deductible temporary differences because of the probability that future taxable profit will be available against which the deductible temporary differences can be utilized.

Deferred tax assets (before netting) of EUR 36,708 thousand (2021: EUR 30,557 thousand) include EUR 20,051 thousand (2021: EUR 18,026 thousand) of deferred tax assets that will be realized after more than twelve months. Deferred tax liabilities (before netting) of EUR 69,741 thousand (2021: EUR 70,034 thousand) include EUR 62,622 thousand (2021: EUR 66,914 thousand) of deferred tax liabilities that will be realized after more than twelve months.

The Group recorded tax losses in some subsidiaries in 2022 and in previous years. In total, the recognized deferred income tax assets on temporary differences and tax loss carryforwards for subsidiaries that have incurred tax losses in the current or previous fiscal year amount to EUR 7,260 thousand (2021: EUR 2,842 thousand). The tax losses of these subsidiaries are mainly attributable to special effects, in particular due to restructuring, so that it is assumed that the deferred tax assets can be realized due to taxable results expected in the future. Essentially, the deferred tax assets relate to loss carryforwards which can be carried forward indefinitely and have not expired.

The Group incurred tax losses in some subsidiaries in 2022 or in previous years. In total, the recognized deferred income tax assets on temporary differences for subsidiaries that have incurred tax losses in the current or previous fiscal year amount to EUR 7,260 thousand (2021: EUR 2,842 thousand).

The decrease in deferred income tax assets in the position “Other assets” compared to the previous year mainly results from the exchange rate development of a foreign currency receivable at the level of NORMA Group Holding

GmbH. The decrease in deferred income tax assets in the position “Provisions” compared to the previous year results from the partial utilization of a provision for severance payments recognized in the previous year at the level of NORMA Germany GmbH.

The increase in deferred income tax liabilities in the item “Borrowings” compared to the previous year is mainly due to the exchange rate development of a foreign currency liability at the level of NORMA Group Holding GmbH.

The increase in deferred income tax liabilities in the item “Other assets” compared to the previous year mainly resulted from the exchange rate development of a foreign currency receivable at the level of NORMA Group Holding GmbH.

Deferred tax assets are recognized for tax loss carry forwards to the extent that it is probable that the tax assets will be realized in the foreseeable future. The usability of tax loss carry forwards over time is as follows:

The Group did not recognize deferred income tax assets in respect of tax loss carry forwards amounting to EUR 28,665 thousand on December 31, 2022 (Dec 31, 2021: EUR 6,434 thousand).

The usability of tax loss carry forwards over time is as follows::

With regard to taxable temporary differences associated with investments in subsidiaries amounting to EUR 612,813 thousand (Dec 31, 2021: EUR 527,524 thousand), no deferred tax liabilities will be recognized as of December 31, 2022, as the temporary differences are unlikely to reverse in the foreseeable future.