XML 98 R59.htm IDEA: XBRL DOCUMENT
v3.20.4

Income Taxes (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2020
Disclosure of income tax [Abstract] |
Components of income tax expense | Components of Income Tax Expense
| 2020 | 2019
Current tax expense (recovery) |  |
Recognized in profit or loss in current year | $ | 99,013 |  | $ | 95,219 |
Adjustments recognized in the current year with respect to prior years | (658) |  | (3,090) |
| 98,355 |  | 92,129 |
Deferred tax expense (recovery) |  |
Deferred tax recovery recognized in the current year | 14,667 |  | (13,079) |
Adjustments recognized in the current year with respect to prior years | 433 |  | (5,003) |
Benefit from previously unrecognized losses, and other temporary differences | (42,379) |  | — |
Decrease in deferred tax liabilities due to tax impact of NRV charge to inventory | 4,481 |  | (2,779) |
| (22,798) |  | (20,861) |
Income tax expense | $ | 75,557 |  | $ | 71,268 |
Reconciliation of effective income tax rate | Reconciliation of Effective Income Tax Rate
| 2020 | 2019
Earnings before taxes and non-controlling interest | $ | 252,012 |  | $ | 182,512 |
Statutory Canadian income tax rate | 27.00 | % | 27.00 | %
Income tax expense based on above rates | $ | 68,043 |  | $ | 49,278 |
Increase (decrease) due to: |  |
Non-deductible expenditures | 9,915 |  | 7,271 |
Foreign tax rate differences | 16,179 |  | 2,507 |
Change in net deferred tax assets not recognized: |  |
- Argentina exploration expenditures | (3,485) |  | 3,117 |
- Other deferred tax assets | (61,280) |  | (11,211) |
Effect of other taxes paid (mining and withholding) | 22,545 |  | 21,307 |
Effect of foreign exchange on tax expense | 18,598 |  | (7,651) |
Non-taxable impact of foreign exchange | (3,000) |  | 4,158 |
Change in non-deductible portion of reclamation liabilities | 8,605 |  | 8,207 |
Change in current tax expense estimated for prior years | — |  | (6,694) |
Other | (563) |  | 979 |
Income tax expense | $ | 75,557 |  | $ | 71,268 |
Effective income tax rate | 29.98 | % | 39.05 | %
Analysis of deferred tax assets and liabilities | The following is the analysis of the deferred tax assets (liabilities) presented in the consolidated financial statements:
| 2020 | 2019
Net deferred tax liability, beginning of year | $ | (140,361) |  | $ | (136,575) |
Initial deferred tax liability associated with the Tahoe Acquisition | — |  | (24,080) |
Recognized in net earnings in the year | 22,798 |  | 20,861 |
Reduction due to Mexican de-consolidation payments applied to current tax | — |  | (705) |
Other | 102 |  | 138 |
Net deferred liability, end of year | (117,461) |  | (140,361) |
Deferred tax assets | 57,850 |  | 36,447 |
Deferred tax liabilities | (175,311) |  | (176,808) |
Net deferred tax liability | $ | (117,461) |  | $ | (140,361) |
Components of deferred tax assets and liabilities | The deferred tax assets (liabilities) are comprised of the various temporary differences, as detailed below:
| 2020 | 2019(1)
Deferred tax assets (liabilities) arising from: |  |
Closure and decommissioning costs | $ | 26,482 |  | $ | 16,002 |
Tax losses, resource pools and mining tax credits | 140,608 |  | 122,187 |
Deductible Mexican mining taxes | 3,286 |  | 2,701 |
Accounts payable and accrued liabilities | 17,737 |  | 17,974 |
Trade and other receivables | 13,290 |  | 17,194 |
Provision for doubtful debts and inventory adjustments | (21,354) |  | (7,145) |
Short-term investments | (15,649) |  | (15,295) |
Mineral properties, plant, and equipment | (274,483) |  | (278,707) |
Estimated sales provisions | (14,028) |  | (23,026) |
Other temporary differences and provisions | 6,650 |  | 7,754 |
Net deferred tax liability | $ | (117,461) |  | $ | (140,361) |
(1)Recast comparative deferred tax assets and liabilities to provide consistency with current presentation.
Deductible temporary differences, unused tax losses and unused tax credits for which no deferred tax assets have been recognised | Deductible temporary differences, unused tax losses and unused tax credits for which no deferred tax assets have been recognized are attributable to the following:
| 2020 | 2019 (1)
Tax loss (revenue in nature) | $ | 284,626 |  | $ | 202,181 |
Net tax loss (capital in nature) | 32,378 |  | 34,646 |
Resource pools and other tax credits | 48,773 |  | 260,413 |
Financing fees | 2,003 |  | 2,849 |
Mineral properties, plant, and equipment | 58,644 |  | 118,380 |
Closure and decommissioning costs | 136,728 |  | 141,018 |
Exploration and other expenses not currently deductible | 33,587 |  | 53,595 |
Intercompany debt | 12,160 |  | 11,339 |
Doubtful debt and inventory | 41,378 |  | 23,895 |
Payroll and vacation accruals | 1,491 |  | 1,055 |
Other temporary differences | 3,562 |  | 3,399 |
| $ | 655,330 |  | $ | 852,770 |
(1)Recast comparative temporary differences, unused tax losses and unused tax credits to provide consistency with current presentation.
Schedule of operating loss carryforwards | Included in the above amounts are operating losses, which if not utilized will expire as follows:
At December 31, 2020 |  |  |  |  |  |  |
| Canada | US | Peru | Mexico | Barbados | Argentina | Total
2021 | $ | — |  | $ | 317 |  | $ | 26 |  | $ | — |  | $ | 8 |  | $ | 1 |  | $ | 352 |
2022 | — |  | 529 |  | — |  | — |  | 12 |  | 3 |  | 544 |
2023 – and after | 269,001 |  | 11,746 |  | 314 |  | 2,406 |  | 183 |  | 80 |  | 283,730 |
Total tax losses | $ | 269,001 |  | $ | 12,592 |  | $ | 340 |  | $ | 2,406 |  | $ | 203 |  | $ | 84 |  | 284,626 |
At December 31, 2019 |  |  |  |  |  |
| Canada | US | Peru | Mexico | Barbados | Argentina | Total
2020 | $ | — |  | $ | 79 |  | $ | 2,110 |  | $ | — |  | $ | 7 |  | $ | 1 |  | $ | 2,197 |
2021 | — |  | 318 |  | 28 |  | — |  | 7 |  | 2 |  | 355 |
2022 – and after (1) | 178,339 |  | 13,185 |  | 1,778 |  | 2,792 |  | 106 |  | 3,429 |  | 199,629 |
Total tax losses (1) | $ | 178,339 |  | $ | 13,582 |  | $ | 3,916 |  | $ | 2,792 |  | $ | 120 |  | $ | 3,432 |  | $ | 202,181 |
(1)Recast comparative operating losses to provide consistency with current presentation.

X
- Definition The disclosure of deferred taxes. [Refer: Deferred tax liabilities; Deferred tax assets] + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Name IAS -Number 1 -IssueDate 2020-01-01 -Paragraph 10 -Subparagraph e -URI http://eifrs.ifrs.org/eifrs/xifrs-link?type=IAS&num=1&code=ifrs-tx-2020-en-r&anchor=para_10_e&doctype=Standard -URIDate 2020-01-01 + Details
Name: | ifrs-full_DisclosureOfDeferredTaxesExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure of types of temporary differences, unused tax losses and unused tax credits. [Refer: Unused tax credits [member]; Unused tax losses [member]; Temporary differences [member]] + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IAS -Number 12 -IssueDate 2020-01-01 -Paragraph 81 -Subparagraph g -URI http://eifrs.ifrs.org/eifrs/xifrs-link?type=IAS&num=12&code=ifrs-tx-2020-en-r&anchor=para_81_g&doctype=Standard -URIDate 2020-01-01 + Details
Name: | ifrs-full_DisclosureOfTemporaryDifferenceUnusedTaxLossesAndUnusedTaxCreditsExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Components of Deferred Tax Assets and Liabilities [Table Text Block] + References No definition available. + Details
Name: | paas_ComponentsofDeferredTaxAssetsandLiabilitiesTableTextBlock
Namespace Prefix: | paas_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Components of Income Tax Expense [Table Text Block] + References No definition available. + Details
Name: | paas_ComponentsofIncomeTaxExpenseTableTextBlock
Namespace Prefix: | paas_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Disclosure of income tax [Abstract] + References No definition available. + Details
Name: | paas_DisclosureofincometaxAbstract
Namespace Prefix: | paas_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Reconciliation of Accounting Profit Multiplied by Applicable Tax Rates and Average Effective Tax Rate [Table Text Block] + References No definition available. + Details
Name: | paas_ReconciliationofAccountingProfitMultipliedbyApplicableTaxRatesandAverageEffectiveTaxRateTableTextBlock
Namespace Prefix: | paas_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Schedule of Operating Loss Carryforwards [Table Text Block] + References No definition available. + Details
Name: | paas_ScheduleofOperatingLossCarryforwardsTableTextBlock
Namespace Prefix: | paas_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration