Annual Report 2012 - IOI Group

11. TAXATIONGroupCompany2012RM’0002011RM’0002012RM’0002011RM’000Current yearMalaysian income taxation 569,088 575,613 55,000 60,000Foreign taxation 4,086 30,678 – –Deferred taxation (Note 23) (27,297) (12,529) 102 (1)Prior years545,877 593,762 55,102 59,999Malaysian income taxation (490) 4,353 – –Foreign taxation 12,361 (3,353) – –Deferred taxation (Note 23) (7,316) (21,663) (263) (373)4,555 (20,663) (263) (373)550,432 573,099 54,839 59,626A numerical reconciliation between average effective tax rate and applicable tax rate of the Group and of the Company is asfollows:GroupCompany2012%2011%2012%2011%Applicable tax rate 25.00 25.00 25.00 25.00Tax effects in respect of:Non allowable expenses 7.56 3.13 17.23 4.21Non taxable income (6.82) (6.30) (4.45) (6.48)Revenue expenses capitalised (0.01) (0.01) – –Tax exempt income (0.17) (0.29) (30.40) (19.87)Tax incentives and allowances (0.37) (0.18) – (0.01)Utilisation of previously unrecognised tax lossesand capital allowances (0.04) (0.02) – –Different tax rates in foreign jurisdiction 0.18 0.29 – –Share of post tax results of associates (1.27) (1.05) – –Share of results of jointly controlled entities (0.34) (0.45) – –Other items (0.77) 0.61 – –22.95 20.73 7.38 2.85Under/(over) provision in prior years 0.19 (0.72) (0.03) (0.02)Average effective tax rate 23.14 20.01 7.35 2.83Annual Report 2012IOI CORPORATION BERHAD 159