Annual Report 2021

164 Notes to the Financial Statements Annual Report 2021 Miramar Hotel and Investment Company, Limited 21 Taxation in the consolidated statement of financial position (Continued) (c) Deferred tax assets/liabilities not recognised (continued) At 31 December 2021, temporary differences relating to the undistributed profits of PRC subsidiaries amounted to HK$95,207,000 (2020: HK$76,059,000). Deferred tax liabilities of HK$4,760,000 (2020: HK$3,803,000) have not been recognised in respect of tax that would be payable on the distribution of these retained profits as the Group controls the dividend policy of these subsidiaries and the directors are of the opinion that the profits will not be distributed in the foreseeable future. 22 Total equity (a) Movements in components of equity The reconciliation between the opening and closing balances of each component of the Group’s consolidated equity is set out in the consolidated statement of changes in equity. Details of the changes in the Company’s individual components of equity between the beginning and the end of the year are set out below: The Company Share capital Capital reserve General reserve Retained profits Total HK$’000 HK$’000 HK$’000 HK$’000 HK$’000 Balance at 1 January 2020 2,227,024 1,019,874 300,000 3,687,634 7,234,532 Changes in equity for 2020: Profit and total comprehensive income for the year – – – 1,052,519 1,052,519 Final dividends approved in respect of the previous year (note 7(b)) – – – (234,926) (234,926) Interim dividends declared in respect of the current year (note 7(a)) – – – (152,011) (152,011) Balance at 31 December 2020 2,227,024 1,019,874 300,000 4,353,216 7,900,114