FY 2011 Annual Report - Sheng Siong

Sheng Siong Annual Report 2011
Notes to the Financial Statements
19 Income tax expenses
Group
Note 2011 2010
$’000 $’000
Current tax expense
Current year 6,034 6,781
Under/(over) provision in respect of prior years 453 (565)
6,487 6,216
Deferred tax expense/(credit)
Origination and reversal of temporary differences 455 (121)
Under provision in respect of prior years’ deferred tax
Total deferred tax expense/(credit) recognised in
12 –
profit and loss 13 467 (121)
Income tax expense from continuing operations 6,954 6,095
Reconciliation of effective tax rate
Profit for the year 27,256 42,635
Total income tax expense 6,954 6,095
Profit before income tax 34,210 48,730
Income tax expense using Singapore tax rate of 17% 5,816 8,284
Income not subject to tax (52) (1,840)
Expenses not deductible for tax purposes 389 216
Under provision in respect of prior years’ deferred tax 12 –
Under/(over) provision in respect of prior years’ current tax 453 (565)
Effect of tax benefits arising from the tax losses in respect of
SS Group Ltd and SS Malaysia not recognised 336 –
20 Share option scheme
6,954 6,095
Sheng Siong Group Ltd. share option scheme (the “Scheme”) was approved by its members at an Extraordinary
General Meeting held on 1 July 2011. The Scheme is administered by the Company’s Remuneration Committee.
Other information regarding the Scheme is set out below:
• The consideration of each option is S$1.00 and the exercise price (the “Exercise Price”) for each
share in respect of which an option is exercisable shall be determined and fixed by the Remuneration
Committee and shall be equal to the average of the closing prices of the share for the past five market
days immediately preceding the relevant date of grant of the option (the “Market Price”).
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