Siemens 2014 Annual Report Download - page 269

247 D. Consolidated Financial Statements 337 E. Additional Information
248 D. Consolidated Statements of Income
249 D. Consolidated Statements of Comprehensive Income
250 D. Consolidated Statements of Financial Position
251 D. Consolidated Statements of Cash Flows
252 D. Consolidated Statements of Changes in Equity
254 D. Notes to Consolidated Financial Statements
330 D. Supervisory Board and Managing Board

Item Interest income (expense) other than from post-employ-
ment benefits includes the following with respect to financial
assets (financial liabilities) not at fair value through profit or
loss:
Year ended September ,
(in millions of €)  
Total interest income on financial assets 1,050 931
Total interest expenses on financial liabilites (643) (766)
The components of item Income (expense) from available-for-
sale financial assets, net were as follows:
Year ended September ,
(in millions of €)  
Dividends received 16 18
Gains on sales, net 40 17
Impairment (11) (117)
Other –2
Income (expenses) from available-for-sale
financial assets, net 45 (80)
Item Miscellaneous financial income (expense), net, in fiscal
 and , includes gains (losses) of €() million and
€  million, respectively, from the accretion of provisions
and the increase (decrease) in the discount rate, as well as
expenses as a result of allowances and write offs of finance
receivables, net of reversals of €  million and €  million,
respectively. Furthermore, gains (losses) related to derivative
financial instruments are included.
Changes in the fair value of warrants issued together with
US$  billion bonds in fiscal  resulted in a pretax loss of
€  million and a pretax gain of €  million, respectively, in fis-
cal  and . In fiscal , the fair value increased mainly
due to an increase in the underlying Siemens and OSRAM share
prices as well as increased implied volatilities. The gain (loss)
is disclosed in Other financial income (expenses), net and in
Corporate items for segment reporting purposes.
NOTE  Income taxes
Income from continuing operations before income tax is attrib-
utable to the following geographic regions:
Year ended September ,
(in millions of €)  
Germany 2,295 1,304
Foreign 5,132 4,509
7,427 5,813
Income tax expense (benefit) consists of the following:
Year ended September ,
(in millions of €)  
Current tax:
German corporation and trade taxes 469 542
Foreign income taxes 1,253 1,212
1,722 1,754
Deferred tax:
Germany 207 256
Foreign 99 (376)
306 (120)
Income tax expenses 2,028 1,634
The current income tax expenses in fiscal  and 
include adjustments recognized for current tax of prior years
in the amount of €  million and €  million, respectively.
The current tax expense in  is positively impacted by the
closing of a mutual agreement procedure regarding transfer
prices between Germany and the U.S. leading to an increase
of German current taxes and an overcompensating decrease of
foreign income taxes.
The deferred tax expense (benefit) in fiscal  and 
includes tax effects of the origination and reversal of tempo-
rary differences of €  million and €() million, respectively.
The German deferred tax expense in fiscal  and  is
mainly related to the utilization of tax loss carryforwards,
partly compensated by tax effects in connection with positive
appeal proceedings in .