connection approvals up to 15 years. 11 INVESTMENT IN UNQUOTED DEBT SECURITY Group and Company 2023 RM’million 2022 RM’million Unsecured Loan Notes 287.5 278.5 Less: Loss allowance (28.2) (25.1) 259.3 253.4 The Unsecured Loan Notes primarily related to the Islamic Medium Term Notes (‘IMTN’) facility subscription with a maturity period of 14 years and matures on 5 May 2034. Credit risk relating to debt instrument above is disclosed in Note 45(b) of the financial statements. Accounting Policy Investment in unquoted debt security is a financial instrument and the accounting policy is disclosed in Note 45. NOTES TO THE FINANCIAL STATEMENTS 31 December 2023 TENAGA NASIONAL BERHAD Integrated Annual Report 2023 240 Accounting Policy Deferred tax is recognised on temporary differences arising between the tax bases of assets and liabilitiesand their carrying amounts in the financial statements including those arising from business combinations. Deferred tax is not recognised on goodwill and those arising from initial recognition of an asset or liability which at the time of the transaction affects neither accounting nor taxable profit or loss. Deferred tax assets are recognised to the extent that it is probable that taxable profit will be available against which the deductible temporary differences, unused tax losses and unutilised tax credits can be utilised. Deferred tax is recognised on temporary differences arising on investment in subsidiaries, joint ventures and associates except where the timing of the reversal of the temporary difference can be controlled and it is probable that the temporary differences will not reverse in the foreseeable future. Tax benefit from reinvestment allowance is recognised when the tax credit is utilised and no deferred tax asset is recognised when the tax credit is receivable. Deferred tax is measured at the tax rates (and laws) that have been enacted or substantially enacted at the end of the reporting period and are expected to apply when the related deferred tax asset is realised