v3.22.4
Income taxes
12 Months Ended
Dec. 31, 2022
Income Taxes [Abstract]  
Income taxes Income taxes:
(a)Current tax expense:
The components of income tax benefit (expense) included in the determination of the profit (loss) from continuing operations comprise of:
20222021
Current tax expense
Current period income tax$39 $63 
Withholding tax21 
Total current tax expense$42 $84 
Deferred tax expense
Origination and reversal of temporary differences$(18,849)$(31,581)
Adjustments for prior periods304 (565)
Change in unrecognized deductible temporary differences14,967 31,846 
Total deferred tax expense$(3,578)$(300)
Total income tax expense (recovery) from continuing operations$(3,536)$(216)
29.     Income taxes (cont'd):
(a)Current tax expense (cont'd):
The Corporation’s effective income tax rate differs from the combined Canadian federal and provincial statutory income tax rate for companies. The principal factors causing the difference are as follows:
20222021
Net loss before income taxes (from continuing operations)$(177,030)$(114,613)
Expected tax recovery at 27.00% (2021 – 27.00% )
$(47,798)$(30,945)
Increase (reduction) in income taxes resulting from:
Non-deductible expenses (non-taxable income)13,865 6,330 
Expiry of losses and ITC1,515 64 
Investment tax credits earned(3,782)(3,677)
Foreign tax rate and tax rate differences4,884 3,341 
Change in unrecognized deductible temporary differences27,777 24,651 
Other20 
Income taxes (recovery) from continuing operations$(3,536)$(216)
(b)    Recognized deferred tax assets and liabilities:
The components of the Corporation's deferred tax assets and liabilities as at December 31, 2022 are as follows:
20222021
Deferred tax assets
Losses from operations carried forward$596 $665 
Research and development tax credits29 32 
$625 $697 
Deferred tax liabilities
Intangible assets$(625)$(4,275)
Deferred tax liabilities$— $(3,578)
(c)    Unrecognized deferred tax asset:
At December 31, 2022, the Corporation did not recognize any deferred tax assets resulting from the following deductible temporary differences for financial statement and income tax purposes.
20222021
Scientific research expenditures$127,482 $122,742 
Investments21,463 9,357 
Share issuance costs23,588 33,100 
Losses from operations carried forward284,468 219,326 
Investment tax credits43,451 42,939 
Property, plant and equipment and intangible assets206,491 217,142 
$706,943 $644,606 
Deferred tax assets have not been recognized in respect of these deductible temporary differences because it is not currently probable that future taxable profit will be available against which the Corporation can utilize the benefits.
29.     Income taxes (cont'd):
The Corporation has available to carry forward the following as at December 31:
20222021
Canadian scientific research expenditures$127,482 $122,742 
Canadian losses from operations165,647 131,514 
Canadian investment tax credits40,877 42,939 
German losses from operations for corporate tax purposes501 232 
US federal losses from operations49,237 50,103 
Denmark losses from operations50,495 35,996 
Hong Kong losses from operations61 50 
UK losses from operations14,304 2,659 
UK research and development tax credits115 129 
The Canadian scientific research expenditures may be carried forward indefinitely. The Canadian losses from operations may be used to offset future Canadian taxable income and expire over the period from 2032 to 2042.
The German, Hong Kong, Denmark and UK losses from operations may be used to offset future taxable income in Germany, Hong Kong, Denmark and UK for corporate tax and trade tax purposes and may be carried forward indefinitely.
The US federal losses from operations incurred prior to January 1, 2018 may be used to offset future US taxable income and expire over the period from 2022 to 2037 and may be carried forward indefinitely for losses incurred after January 1, 2018.
The Canadian investment tax credits may be used to offset future Canadian income taxes otherwise payable and expire over the period from 2022 to 2042. The UK scientific research and development tax credits may be carried forward indefinitely.