annUaL rEporT 2008 - Česká rafinérská, as

ČESKÁ RAFINÉRSKÁ, a.s.
NOTES TO FINANCIAL STATEMENTS
YEAR ENDED 31 DECEMBER 2008
15. BANK LOANS AND OTHER BORROWINGS
At 31 December 2008, the Company did not have any bank loan.
The interest expense relating to bank loans and short-term overdrafts for 2008 was
CZK 172 thousand (2007: CZK 161 thousand).
Interest expense for the year 2008 in the amount of CZK 14,063 thousand relates to
long-term liability (Note 21).
16. TAXATION
The calculation of 2008 and 2007 income tax is as follows (CZK’000):
2008 2007
Profit before tax 384,613 418,952
Non-taxable income* (25,171) (485,858)
Non-tax deductible expenses** 504,866 307,394
Difference between accounting and tax depreciation (214,153) (16,534)
Tax base 650,155 223,954
Utilised reinvestment tax relief (649,411)
Utilised tax loss (portion of 2001 and 2002) (744) (223,954)
Taxable income - -
Income tax rate 21% 24%
Current tax due - -
*) The amount in 2007 includes income from the release of non-tax deductible provision to receivable of
CZK 352,235 thousand. The provision became fully deductible for tax purposes following the registration of
the receivable into bankruptcy procedure.
**) The amount in 2008 includes increase in provisions for inventories of CZK 238,500 thousand (Note 9),
increase in reservers beyond the terms of the Act on Reserves of CZK 175,216 thousand (Note 13) and
depreciation of adjustment to acquired property of CZK 84,621 thousand (Note 5).
The calculation of the 2008 income tax is based on the preliminary income tax calculation.
According to Income Tax Act, the Company may carry forward tax losses generated in
2001 and 2002 for up to seven years. The remaining tax loss carried forward from 2001
and 2002 amounted to CZK 69,061 thousand as at 31 December 2008.
ANNUAL REPORT ČESKÁ RAFINÉRSKÁ, a.s., 2008 42