BAKERTECHNOLOGYLIMITED
ANNUALREPORT2013
106
Notes to the
Financial Statements
for the financial year ended 31December 2013
9.
Income taxexpense
(a)
Major components of income taxexpense
Themajor components of income tax expense for the years ended31December are:-
Group
2013
2012
$
$
Statement of comprehensive income :
Current income tax:
- Current income taxation
3,720,000 3,600,000
- Underprovision in respect of prior years
471,194
–
4,191,194 3,600,000
Deferred income tax:
-
Origination and reversal of temporary difference (Note 16)
(484,000)
(241,249)
-
Overprovision in respect of prior years
–
(150,751)
(484,000)
(392,000)
Income tax expense recognised in the statement of comprehensive income
3,707,194 3,208,000
(b)
Relationshipbetween tax expenseand accountingprofit
A reconciliationbetween tax expenses and theproduct of accountingprofitmultipliedby the applicable corporate tax rate for
the years ended 31December are as follows:-
Group
2013
2012
$
$
Accounting profit before tax
26,080,025 84,799,158
Income tax expense at the applicable tax rate of 17% (2012: 17%)
4,433,604 14,415,857
Adjustments for tax effect of:
Income not subject to taxation
(1,507,142) (12,083,728)
Non-deductible expenses
378,474 1,079,636
Under / (over) provision in respect of prior years
471,194
(150,751)
Tax exemption
(75,578)
(52,060)
Others, net
6,642
(954)
Income tax expense recognised inprofit or loss
3,707,194 3,208,000
The gains on disposal of a subsidiary and associates are capital innature andnot taxable.
