Tax Pools: Why No Mention in 2015 Report?From 2014 MD&A: "The Company has existing tax losses and pools of approximately $716.3 million at December 31, 2014. These income tax pools are deductiblye at various rates and annual deductions associated with the initial pools will decline over time."
Strangely, the 2015 MD&A, makes no mention of the total value of the Company's tax pools:
"Deferred tax amounted to $13.7 million recovery for the twelve months ended December 31, 2015 compared to $17.6 million recovery for the the twelve months ended December 31, 2014. The recovery is the result of the current commodity price environment and impairment losses resulting in a net income loss for the years, as well as an allowance taken on the net deferred tax asset. Due to the going concern uncertainty disclosed in the Liquidity and Capital Resources section of this MD&A, the Company recorded an allowance of $74.6 million to reduce its net deferred tax asset to $nil."
It is strange that they are not making mention of tax pools. Did the tax pools mysteriously disappear? Is there some slight of hand accounting going on? Are they trying to pull a fast one, and sell to a private company, that would actually get a substantial amount of tax pools, to shield future income with?
Just more questions to ask!