XML 239 R61.htm IDEA: XBRL DOCUMENT
v3.22.4

OTHER PROVISIONS (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2022
OTHER PROVISIONS [Abstract] |
Schedule of other provisions |
|  | Current liabilities |  |  | Non-current liabilities |  |  | Total Liabilities |
|  | As of |  |  | As of |  |  | As of |  |  | As of |  |  | As of |  |  | As of |
|  | December 31, |  |  | December 31, |  |  | December 31, |  |  | December 31, |  |  | December 31, |  |  | December 31, |
|  | 2022 |  |  | 2021 |  |  | 2022 |  |  | 2021 |  |  | 2022 |  |  | 2021 |
|  | ThUS$ |  |  | ThUS$ |  |  | ThUS$ |  |  | ThUS$ |  |  | ThUS$ |  |  | ThUS$ |
Provision for contingencies (1) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Tax contingencies |  |  | 8,733 |  |  |  | 24,330 |  |  |  | 617,692 |  |  |  | 490,217 |  |  |  | 626,425 |  |  |  | 514,547 |
Civil contingencies |  |  | 5,490 |  |  |  | 3,154 |  |  |  | 119,483 |  |  |  | 92,955 |  |  |  | 124,973 |  |  |  | 96,109 |
Labor contingencies |  |  | 350 |  |  |  | 388 |  |  |  | 175,212 |  |  |  | 98,254 |  |  |  | 175,562 |  |  |  | 98,642 |
Other |  |  | - |  |  |  | - |  |  |  | 13,180 |  |  |  | 21,855 |  |  |  | 13,180 |  |  |  | 21,855 |
Provision for European |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commission investigation (2) |  |  | - |  |  |  | - |  |  |  | 2,397 |  |  |  | 9,300 |  |  |  | 2,397 |  |  |  | 9,300 |
Total other provisions (3) |  |  | 14,573 |  |  |  | 27,872 |  |  |  | 927,964 |  |  |  | 712,581 |  |  |  | 942,537 |  |  |  | 740,453 |
(1) | Provisions for contingencies:
The tax contingencies correspond to litigation and tax criteria related to the tax treatment applicable to direct and indirect taxes, which are found in both administrative and judicial stage. The civil contingencies correspond to different demands of civil order filed against the Company. The labor contingencies correspond to different demands of labor order filed against the Company. The Provisions are recognized in the consolidated income statement in administrative expenses or tax expenses, as appropriate.
(2) | Provision made for proceedings brought by the European Commission for possible breaches of free competition in the freight market.
(3) | Total other provision as of December 31, 2022, and December 31, 2021, include the fair value of the contingencies arising at the time of the business combination with TAM S.A and subsidiaries, with a probability of loss under 50%, which wold not be provided for except in the context of a business combination in accordance with IFRS 3.
Schedule of movement of provisions |
|  |  |  |  | European |  |  |  |  |  |  |
|  | Legal |  |  | Commission |  |  | Onerous |  |  |  |
|  | claims (1) |  |  | Investigation (2) |  |  | Contracts |  |  | Total |
|  | ThUS$ |  |  | ThUS$ |  |  | ThUS$ |  |  | ThUS$ |
Opening balance as of January 1, 2020 |  |  | 282,392 |  |  |  | 9,217 |  |  |  | - |  |  |  | 291,609 |
Increase in provisions |  |  | 408,078 |  |  |  | - |  |  |  | 44,000 |  |  |  | 452,078 |
Provision used |  |  | (47,238 | ) |  |  | - |  |  |  | - |  |  |  | (47,238 | )
Difference by subsidiaries conversion |  |  | (58,654 | ) |  |  | - |  |  |  | - |  |  |  | (58,654 | )
Reversal of provision |  |  | (25,563 | ) |  |  | - |  |  |  | - |  |  |  | (25,563 | )
Exchange difference |  |  | (979 | ) |  |  | 880 |  |  |  | - |  |  |  | (99 | )
Closing balance as of December 31, 2020 |  |  | 558,036 |  |  |  | 10,097 |  |  |  | 44,000 |  |  |  | 612,133 |
Opening balance as of January 1, 2021 |  |  | 558,036 |  |  |  | 10,097 |  |  |  | 44,000 |  |  |  | 612,133 |
Increase in provisions |  |  | 403,229 |  |  |  | - |  |  |  | - |  |  |  | 403,229 |
Provision used |  |  | (84,497 | ) |  |  | - |  |  |  | - |  |  |  | (84,497 | )
Difference by subsidiaries conversion |  |  | (25,531 | ) |  |  | - |  |  |  | - |  |  |  | (25,531 | )
Reversal of provision |  |  | (119,029 | ) |  |  | - |  |  |  | (44,000 | ) |  |  | (163,029 | )
Exchange difference |  |  | (1,055 | ) |  |  | (797 | ) |  |  | - |  |  |  | (1,852 | )
Closing balance as of December 31, 2021 |  |  | 731,153 |  |  |  | 9,300 |  |  |  | - |  |  |  | 740,453 |
Opening balance as of January 1, 2022 |  |  | 731,153 |  |  |  | 9,300 |  |  |  | - |  |  |  | 740,453 |
Increase in provisions |  |  | 687,558 |  |  |  | - |  |  |  | - |  |  |  | 687,558 |
Provision used |  |  | (63,087 | ) |  |  | - |  |  |  | - |  |  |  | (63,087 | )
Difference by subsidiaries conversion |  |  | 28,655 |  |  |  | - |  |  |  | - |  |  |  | 28,655 |
Reversal of provision |  |  | (427,979 | ) |  |  | (6,630 | ) |  |  | - |  |  |  | (434,609 | )
Exchange difference |  |  | (16,160 | ) |  |  | (273 | ) |  |  | - |  |  |  | (16,433 | )
Closing balance as of December 31, 2022 |  |  | 940,140 |  |  |  | 2,397 |  |  |  | - |  |  |  | 942,537 |
(1) | Accumulated balances include a judicial deposit delivered in guarantee, with respect to the “Fundo Aeroviario” (FA), for MUS$ 74, made in order to suspend the collection and the application of a fine. The Company is discussing in Court the constitutionality of the requirement made by FA calculated at the ratio of 2.5% on the payroll in a legal claim. Initially the payment of said contribution was suspended by a preliminary judicial decision and about 10 years later, this same decision was reversed. As the decision is not final, the Company has deposited the amounts until that date, in order to avoid collection processing and the application of the fine.
| (2) | European Commission Provision
Provision constituted on the occasion of the process initiated in December 2007 by the General Competition Directorate of the European Commission against more than 25 cargo airlines, among which is Lan Cargo SA, which forms part of the global investigation initiated in 2006 for possible infractions of free competition in the air cargo market, which was carried out jointly by the European and United States authorities.

X
- Definition The disclosure of other provisions. [Refer: Other provisions] + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IAS -Number 37 -IssueDate 2022-03-24 -Paragraph 84 -URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=37&code=ifrs-tx-2022-en-r&anchor=para_84&doctype=Standard -URIDate 2022-03-24 + Details
Name: | ifrs-full_DisclosureOfOtherProvisionsExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | ifrs-full_OtherProvisionsAbstract
Namespace Prefix: | ifrs-full_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The disclosure of movement of other provisions explanatory. + References No definition available. + Details
Name: | ltm_DisclosureOfMovementOfOtherProvisionsExplanatory
Namespace Prefix: | ltm_
Data Type: | dtr:textBlockItemType
Balance Type: | na
Period Type: | duration