16 PROVISIONS NOTES TO THE CONSOLIDATED BALANCE SHEETS Amounts in EUR millions The provisions for taxation are of a long-term nature. This caption includes both deferred taxation as well as other long-term tax liabilities. The deferred taxation is calculated on the basis of the difference between book value and valuation for tax purposes of the appropriate assets and liabilities. Deferred tax assets are recognized to the extent that it is probable that future taxable profits will be available. The provision is equal to the discounted value of the future tax amounts. In the calculation discounted tax rates ranging from 0% to nominal rates are used, taking into account the estimated term to maturity of the related differences. Nominal value of these tax amounts is EUR 2,423 million. As at December 31, the provisions for taxation consist of: 17 LONG-TERM LIABILITIES The repayment periods of borrowings vary from in excess of one year up to a maximum of 50 years. The coupons vary from 1.49% to 10% per annum. Borrowings include debenture loans for EUR 2,837 million. The market value of total long-term liabilities amounts to EUR 5,053 million (2002: EUR 3,679 million). AEGON GROUP ANNUAL REPORT 2003 102 Remaining terms less than between between over Total Total  1 year 1-3 years 4-5 years 5 years 2003 2002 CAPITAL MARKET: Borrowings 1,016 1,043 972 961 3,992 3,313 OTHER: Miscellaneous long-term liabilities 209 109 108 274 700 543 TOTAL LONG-TERM LIABILITIES 1,225 1,152 1,080 1,235 4,692 3,856 2003 2002 Deferred tax liabilities relating to: Investments 308 298 Deferred policy acquisition costs 2,772 3,169 Other 1,094 917 4,174 4,384 Deferred tax assets relating to: Technical provisions 796 1,147 Operating losses carried forward 779 564 Investments 846 849 2,421 2,560 1,753 1,824 Total tax losses carried forward 2,452 1,839 Tax losses carried forward not recognized within deferred tax assets (201) (194) Tax losses carried forward recognized within deferred tax assets 2,251 1,645 Average tax rate 34.5% 34.3% Total tax losses carried forward as at December 31, by terms of expiration: Up to five years 76 188 Five to ten years 9 12 Ten to twenty years 1,250 1,294 Unlimited 1,117 345 Total tax losses carried forward 2,452 1,839 2003 2002 Provisions for taxation 1,753 1,824