Trade payables are obligations to pay for goods or services that have been acquired from suppliers in the ordinary course of business. Trade payables are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities.
Trade payables are recognized initially at fair value and subsequently measured at amortized cost using the effective interest method.
Trade and Other Payables can be specified as follows:
in thousands of EUR
31 December 2020
31 December 2019
Employee related payables
Other taxes and social security
Payables to related parties
In 2020, increase in Other taxes and social security mainly relate to deferrals of payroll tax liability in Sweden and Denmark in line with the local government tax ruling, which is being partially settled every month as from August 2020.
In 2019, a contingent consideration of €19,540 (CHF 21,714) was paid in July 2019 in relation to the increase of the Group's shareholding in Visilab S.A. from 70% to 79%.
The carrying value of the items in the above table is assumed to approximate the fair value due to their short-term nature.