Page 181 - ENAV eng_Relazione_Finanziaria_Annuale_2014

Notes to the Financial Statements of ENAV SpA 179

Costs

Costs are measured at the fair value of the amount recognized and are
charged to profit or loss on an accrual basis, matched as appropriate with
any revenues.

Financial income and expense

Financial income and expense are recognized on an accrual basis on the
basis of the interest earned or due on the relative financial assets and
liabilities, using the effective interest rate and, where envisaged, the legal
interest rate.

Income taxes

Current taxes are calculated on the basis of an estimate of taxable income
and in compliance with the legislation in force. Current tax liabilities are
recognized in the balance sheet less any taxes paid on account.

Deferred tax assets and liabilities are measured at the tax rates that are
expected to apply to the periods when the asset is realized or the liability is
settled. A deferred tax asset is recognized when it is probable that taxable
profit will be available against which the underlying deductible temporary
difference can be utilized, unless the deferred tax asset arises from the
initial recognition of an asset or a liability in a transaction that: i) is not
a business combination; ii) at the time of the transaction affects neither
accounting profit nor taxable profit (tax loss).

Deferred tax assets and liabilities are recognized directly in profit or loss,
except for those relating to items recognized in other comprehensive
income or equity. In these cases the relative deferred tax assets or liabilities
are also recognized in comprehensive income or equity.

The Company offsets deferred tax assets and deferred tax liabilities if and
only if it has a legally enforceable right to set off current tax assets against
current tax liabilities and the deferred tax assets and deferred tax liabilities
relate to the same taxation authority.

Deferred tax assets and deferred tax liabilities are classified as non-current
assets and liabilities.