annual RepoRt 2011 - Haldex

note 8 audItInG FeeS
PricewaterhouseCoopers
42 | Haldex annual report 2011
2011 2010
audit assignments 4 4
audit work in addition to the audit assignment - -
tax advice 1 1
other assignments - -
Continued operations 5 5
discontinued operations – audit assignment 0 2
discontinued operations – other assignments 16 11
total 21 18
discontinued operations, other assignments, relates to consultancy fees paid to pwC in their assignment as advisors in the divestment of the traction division and
the demerger project. the fees mainly relates to tax advisory services occurred when the Group was restructured into three separate legal sub-group’s before the
demerger and divestment of the traction division took place.
note 9 depReCIatIon
2011 2010
Cost of goods sold 97 100
Selling costs 6 7
administrative costs 18 22
product development costs 25 17
Continued operations 146 146
discontinued operations 36 132
total 182 278
note 10 taxeS
2011 2010
Current tax -38 -48
deferred tax -56 1
total recognized tax expenses -94 -47
the tax on the Group’s profit before tax differs from the theoretical amount that would arise using the weighted average tax rate applicable to
profits of the consolidated entities as follows:
reconciliation of effective tax rate 2011 2010
earnings before tax 2,172 178
tax at applicable tax rate in Sweden 26% 26%
differences in tax rates of different countries of operation 2% -2%
non-deductible expenses 1% 9%
non-taxable revenues -24% -5%
tax attributable to prior years 0% 2%
utilization of previously unrecognized loss carryforwards 0% -15%
tax loss carryforwards for which no deferred tax asset has been recognized 0% 5%
other taxes 0% 6%
reported effective tax rate 4% 26%
the income tax charged/credited to equity during the year is as follows:
2011 2010
Deferred tax
Hedging reserve 13 -3
13 -3