MILLIRE 2021 ANNUAL REPORT

NOTES TO THE UNCONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2021 Millî Reasürans Türk Anonim Şirketi (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish, See Note 2.1.1) (Currency: Turkish Lira (TL)) Total amount of investment incentives which will be benefited in current and forthcoming periods None. 20 Financial liabilities As of December 31 2021, discounted repayment plans for the Company’s operating leases are as follows: December 31, 2021 December 31, 2020 Within one year 3.234.894 - Total 3.234.894 21 Deferred tax As of December 31, 2021, and 2020, deferred tax assets and liabilities are attributable to the following: December 31, 2021 December 31, 2020 Deferred tax assets/(liabilities) Deferred tax assets/(liabilities) Equalization provision 35.844.515 9.629.679 Provision for the pension fund deficits 32.568.287 25.592.795 Unexpired risks reserve 20.599.702 13.912.211 Provisions for employee termination benefits 2.998.408 2.424.633 Provision for doubtful receivables 2.484.919 1.240.963 Personnel Bonus Accrual 1.114.203 846.240 Time deposits 119.584 (1.705.917) Rediscount of receivables and payables (7.613) (33.413) Amortization correction differences (507.293) 123.787 Valuation differences in financial assets (797.643) (785.041) Profit commission accrual (4.767.444) (4.178.574) Real estate valuation differences (74.513.476) (59.798.532) Deferred tax (liabilities)/assets, net 15.136.149 (12.731.169) As of December 31, 2021, the Company does not have any deductible tax losses (December 31, 2020: None). Movement of deferred tax assets are given below: December 31, 2021 December 31, 2020 Opening balance at 1 January (12.731.169) (22.035.437) Deferred tax income/expense 23.899.257 7.274.347 Deferred tax income/expense recognised in equity 3.968.061 2.029.921 Deferred tax (assets)/liabilities: 15.136.149 (12.731.169) 151 MİLLÎ REASÜRANS ANNUAL REPORT 2021 FINANCIAL STATUS RISKS AND ASSESSMENT OF THE GOVERNING BODY UNCONSOLIDATED FINANCIAL STATEMENTS TOGETHER WITH INDEPENDENT AUDITORS’ REPORT THEREON CONSOLIDATED FINANCIAL STATEMENTS TOGETHER WITH INDEPENDENT AUDITORS’ REPORT THEREON