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Income and other taxes | 12 Months Ended
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Dec. 31, 2021
Income Taxes [Abstract] |
Income and other taxes | Income and other taxes: a) Income tax (expense) recovery:
For the years ended December 31 | 2021 | 2020
Current tax (expense) recovery: |  |
Current period before undernoted items | $ | (115,629) |  | $ | (27,759) |
Adjustments to prior years | (138) |  | 2,563 |
| (115,767) |  | (25,196) |
Deferred tax recovery (expense): |  |
Origination and reversal of temporary differences | 4,360 |  | 89,301 |
Adjustments to prior years | (235) |  | (1,067) |
Changes in tax rates | 3,630 |  | (5,031) |
Other | (2,415) |  | 4,098 |
| 5,340 |  | 87,301 |
Total income tax (expense) recovery | $ | (110,427) |  | $ | 62,105 |
b) Reconciliation of the effective tax rate: The Company operates in several tax jurisdictions and therefore its income is subject to various rates of taxation. Income tax (expense) recovery differs from the amounts that would be obtained by applying the Canadian statutory income tax rate to net income (loss) before income taxes as follows:
For the years ended December 31 | 2021 | 2020
Income (loss) before income taxes | $ | 666,338 |  | $ | (187,432) |
Deduct earnings of associate | (97,743) |  | (29,577) |
| 568,595 |  | (217,009) |
Canadian statutory tax rate | 24.5 | % | 25.6 | %
Income tax recovery (expense) calculated at Canadian statutory tax rate | (139,306) |  | 55,554 |
Decrease (increase) in income tax expense resulting from: |  |
Impact of income and losses taxed in foreign jurisdictions | (24,313) |  | 3,771 |
Utilization of unrecognized loss carryforwards and temporary differences | 7,008 |  | 7,013 |
Impact of tax rate changes and tax settlements | 43,515 |  | (5,031) |
Impact of foreign exchange | (3,198) |  | 3,748 |
Other business taxes | (3,691) |  | (3,081) |
Impact of recovery items (expenses) not taxable (deductible) for tax purposes | 8,377 |  | (5,461) |
Adjustments to prior years | (373) |  | 1,496 |
Other | 1,554 |  | 4,096 |
Total income tax (expense) recovery | $ | (110,427) |  | $ | 62,105 |
c) Net deferred income tax assets and liabilities: (i) The tax effect of temporary differences that give rise to deferred income tax liabilities and deferred income tax assets is as follows:
As at |  | Dec 31, 2021 |  |  | Dec 31, 2020
| Net | Deferred tax assets | Deferred tax liabilities |  | Net | Deferred tax assets | Deferred tax liabilities
Property, plant and equipment (owned) | $ | (427,001) |  | $ | (253,108) |  | $ | (173,893) |  |  | $ | (448,533) |  | $ | (262,020) |  | $ | (186,513) |
Right-of-use assets | (35,571) |  | (28,047) |  | (7,524) |  |  | (43,386) |  | (35,297) |  | (8,089) |
Repatriation taxes | (106,339) |  | — |  | (106,339) |  |  | (102,370) |  | — |  | (102,370) |
Other | (13,467) |  | (270) |  | (13,197) |  |  | (15,205) |  | — |  | (15,205) |
| (582,378) |  | (281,425) |  | (300,953) |  |  | (609,494) |  | (297,317) |  | (312,177) |
Non-capital loss carryforwards | 370,642 |  | 329,405 |  | 41,237 |  |  | 391,132 |  | 339,396 |  | 51,736 |
Lease obligations | 48,481 |  | 37,153 |  | 11,328 |  |  | 56,894 |  | 44,455 |  | 12,439 |
Share-based compensation | 14,063 |  | 1,832 |  | 12,231 |  |  | 14,669 |  | 1,758 |  | 12,911 |
Other | 34,656 |  | 11,204 |  | 23,452 |  |  | 70,931 |  | 49,232 |  | 21,699 |
| 467,842 |  | 379,594 |  | 88,248 |  |  | 533,626 |  | 434,841 |  | 98,785 |
Net deferred income tax assets (liabilities) | $ | (114,536) |  | $ | 98,169 |  | $ | (212,705) |  |  | $ | (75,868) |  | $ | 137,524 |  | $ | (213,392) |
As at December 31, 2021, deferred income tax assets have been recognized in respect of non-capital loss carryforwards generated in the United States. These loss carryforwards expire as follows:
| Dec 31 2021
| Gross amount | Tax effect
Expire |  |
Losses generated in 2015 (expires 2035) | $ | 294,774 |  | $ | 67,798 |
Losses generated in 2016 (expires 2036) | 432,581 |  | 99,494 |
Losses generated in 2017 (expires 2037) | 234,941 |  | 54,036 |
| 962,296 |  | 221,328 |
No expiry |  |
Losses generated in 2019 | 255,244 |  | 58,706 |
Losses generated in 2020 | 160,058 |  | 36,813 |
Total non-capital loss carryforwards | $ | 1,377,598 |  | $ | 316,847 |
Losses generated in the United States on or after January 1, 2018 may be carried forward indefinitely against future taxable income. Tax losses generated before December 31, 2017 may be carried forward for a 20 year period. As at December 31, 2021 the Company had $262 million (2020 - $ 292 million) of deductible temporary differences in the United States that have not been recognized. As at December 31, 2021, deferred income tax assets have been recognized in respect of non-capital loss carryforwards generated in Trinidad. The loss carryforwards total $59.8 million, which result in a deferred income tax asset of $20.9 million. The losses generated in Trinidad may be carried forward indefinitely against future taxable income. (ii) Analysis of the change in deferred income tax assets and liabilities:
|  | 2021 |  |  |  | 2020 |
| Net | Deferred tax assets | Deferred tax liabilities |  | Net | Deferred tax assets | Deferred tax liabilities
Balance, January 1 | $ | (75,868) |  | $ | 137,524 |  | $ | (213,392) |  |  | $ | (161,206) |  | $ | 111,614 |  | $ | (272,820) |
Deferred income tax recovery included in net income | 5,340 |  | (592) |  | 5,932 |  |  | 87,301 |  | 28,243 |  | 59,058 |
Deferred income tax recovery (expense) included in other comprehensive income | (42,919) |  | (38,763) |  | (4,156) |  |  | (2,325) |  | (2,333) |  | 8 |
Other | (1,089) |  | — |  | (1,089) |  |  | 362 |  | — |  | 362 |
Balance, December 31 | $ | (114,536) |  | $ | 98,169 |  | $ | (212,705) |  |  | $ | (75,868) |  | $ | 137,524 |  | $ | (213,392) |

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