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## NOTE 16. INCOME TAXES 

## (A) Deferred Income Tax 

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The net deferred income tax liability without taking into consideration the offsetting of balances within the same jurisdiction are detailed as follows: 

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A continuity of the net deferred income tax liability follows: 

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## (B)  Timing of Deferred Income Tax Recovery 

The timing of deferred income tax recovery is summarized as follows: 

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The aggregate amount of temporary differences associated with investments in subsidiaries and equity-accounted investees, for which deferred tax liabilities have not been recognized, as at December 31, 2013 was $31,730 (December 31, 2012 – $12,612). These liabilities have not been recorded as the reversal of such differences are not expected to create a tax liability. 

## (C) Tax Loss Carry-forwards 

Capstone's tax loss carry-forwards, and the portion recognized in deferred income tax assets were as follows: 

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The Corporation additionally has $17,544 of unused tax credits, which have not been recognized as a tax asset as at December 31, 2013 (December 31, 2012 – $14,659). 

