Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Taxation (Tables)

v3.23.1
Taxation (Tables)
 12 Months Ended
Dec. 31, 2022
Major components of tax expense (income) [abstract]  
Summary of income tax expense recognized in the consolidated statement of profit or loss
The major components of income tax expense recognized in the consolidated statement of profit or loss for the years ended December 31, 2022, 2021 and 2020 are as follows:
(in €‘000) 2022 2021 2020
Current income tax expense
Current income tax expense for the year (1,058) (200) (33)
Adjustments in respect of current income tax of previous years (64) —  — 
Total current tax expense (1,122) (200) (33)
Deferred tax expense
Origination and reversal of temporary differences and tax losses 16,950  —  — 
(De)recognition of deferred tax assets (16,464) (152) 722 
Total deferred tax expense 486  (152) 722 
Income tax expense (636) (352) 689 
Summary of reconciliation of effective tax rate
The following table provides a reconciliation of the statutory income tax rate with the average effective income tax rate in the consolidated statement of profit or loss for the years ended December 31, 2022, 2021 and 2020:
2022 2021 2020
(in €‘000) % (in €‘000) % (in €‘000) %
Effective tax reconciliation
Loss before income tax (304,656) (319,320) (43,945)
Income tax expense at statutory tax rate 78,601  (25.8) 79,830  (25.0) 10,986  (25.0)
Adjustments to arrive at the effective tax rate:
Impact of different tax rates of local jurisdictions 165  (0.1) —  —  (39) 0.1 
Non-taxable income 7,987  (2.6) —  —  —  — 
Non-deductible expenses (68,372) 22.4  (74,033) 23.2  (1,784) 4.1 
Temporary differences for which no deferred tax is recognized (2,412) 0.8  (5,997) 1.9  (9,196) 20.8 
Adjustments previous year (64) —  —  —  —  — 
(De)recognition of previously (un)recognized deferred tax assets (16,464) 5.4  (152) —  722  (1.6)
Other (77) —  —  —  —  — 
Effective tax (rate) (636) 0.2  (352) 0.1  689  (1.6)
Summary of deferred tax assets and liabilities
Deferred tax assets and liabilities
(in €‘000) 2022 2021
Deferred tax assets 570  4,573 
Deferred tax liabilities —  (3,851)
Balance at January 1 570  722 
Movements in deferred tax
Recognition of losses (87) (859)
Acquisitions / Divestments (3,043) — 
Movements of temporary differences 899  974 
Recognition of tax credits —  (267)
Balance at December 31 (1,661) 570 
Deferred tax assets 523  570 
Deferred tax liabilities (2,184) — 
Balance at December 31 (1,661) 570 
Summary of movements of temporary differences
The following table provides an overview of the movements of temporary differences during the years ended December 31, 2022 and 2021 and where those movements have been recorded: the consolidated statement of profit or loss (“profit or loss”) or directly in equity.
Recognized in
(in €‘000) Net balance
January 1		 Acquisitions / divestments Profit
or loss		 Equity Net balance
December 31		 DTA DTL
Movements in 2021
Property, plant and equipment 880  —  (599) —  281  928  (647)
Intangible assets (73) —  73  —  —  —  — 
Right-of-use assets (3,459) —  (4,010) —  (7,469) —  (7,469)
Trade and other receivables —  —  —  —  —  —  — 
Inventories —  —  —  —  —  —  — 
Non-current lease liabilities 1,719  —  3,107  —  4,826  4,826  — 
Current lease liabilities 482  —  1,224  —  1,706  1,706  — 
Provisions (63) —  63  —  —  —  — 
Trade and other payables (49) —  610  —  561  561  — 
Net operating losses 859  —  (194) —  665  665  — 
Interest carry forward 426  —  (426) —  —  —  — 
Total 722  —  (152) —  570  8,686  (8,116)
Set-off of deferred tax balances pursuant to set-off provisions*
(8,116) 8,116 
Net deferred tax balances at December 31, 2021 570  — 
Movements in 2022
Property, plant and equipment 281  —  245  —  526  981  (455)
Intangible assets —  (2,242) 460  —  (1,782) —  (1,782)
Right-of-use assets (7,469) (484) (4,132) —  (12,085) —  (12,085)
Trade and other receivables —  396  53  —  449  449  — 
Inventories —  —  —  —  —  —  — 
Non-current lease liabilities 4,826  441  4,048  —  9,315  9,315  — 
Current lease liabilities 1,706  43  85  —  1,834  1,834  — 
Provisions —  101  8  (2) 107  107  — 
Trade and other payables 561  —  (193) —  368  374  (6)
Investments in equity securities —  (1,298) —  328  (970) —  (970)
Net operating losses 665  —  (88) —  577  577  — 
Interest carry forward —  —  —  —  —  —  — 
Total 570  (3,043) 486  326  (1,661) 13,637  (15,298)
Set-off of deferred tax balances pursuant to set-off provisions*
(13,114) 13,114 
Net deferred tax balances at December 31, 2022 523  (2,184)
* Allego N.V. and its wholly-owned Dutch subsidiaries have applied the tax consolidation legislation, which means that these entities are taxed as a single entity. As a consequence, the deferred tax assets and deferred tax liabilities of these entities have been offset in the consolidated financial statements.
Summary of unrecognized deferred tax assets
Unrecognized deferred tax assets
(in €‘000) December 31, 2022 December 31, 2021
Tax losses 197,171  132,498 
Deductible temporary differences 17,679  — 
Tax credits —  — 
Interest carry forward 36,612  16,986 
Total 251,462  149,484 
Potential tax benefit 65,832  40,313