Income Tax Provision

12 Months Ended

Mar. 31, 2013

Income Tax Provision [Abstract]

Income Tax Provision

9. Income Tax Provision

The components of the income tax provision in the statements of changes in net assets in liquidation for years ended March 31, 2013 and 2012 are as follows:

(in thousands)	2013		2012
Current	$	—	$	—
Deferred		56,262		108,583
Total	$	56,262	$	108,583

There was no current income tax expense or benefit for the years ended March 31, 2013 and 2012 due to current and prior year net operating losses. Such net operating losses expire in March 2032 through 2033.

The following summarizes the sources and expected tax consequences of future taxable deductions and income, which comprise the net deferred tax liability at March 31, 2013 and 2012:

(in thousands)	2013			2012
Deferred tax assets:
Reserves for expected costs of liquidation	$	21,983		$	24,539
Net operating losses		18,212			9,537
Gross deferred tax assets		40,195			34,076
Deferred tax liabilities:
Fair value in excess of tax basis of holdings of New GM Securities		(205,040	)		(142,659	)
Gross deferred tax liabilities		(205,040	)		(142,659	)
Net deferred tax liability	$	(164,845	)	$	(108,583	)

The net deferred tax liability at March 31, 2013 was established using the enacted statutory tax rate of 39.6% that goes into effect for the GUC Trust’s fiscal year beginning on April 1, 2013. At March 31, 2012, the GUC Trust’s statutory tax rate of 35% was applied. The adjustment to increase the net deferred tax liability existing as of March 31, 2012 for the increase in the statutory tax rate resulted in an increase in the deferred tax provision for the year ended March 31, 2013 of approximately $14.3 million.