Annual Report & Accounts 2013 - Pinewood Studios

70 Pinewood Shepperton plcAnnual Report & Accounts 2013Notes to the consolidated financial statements continued11. Taxation continued(b) Reconciliation of the total tax (credit)/chargeA reconciliation between the tax (credit)/charge and the product of accounting profit multiplied by the standard rate ofcorporation tax in the UK for the year ended 31 March 2013 and 15 month period ended 31 March 2012 is as follows:Yearended31 March2013£00015 monthsended31 March2012£000Accounting profit/(loss) before corporation tax 1,319 (1,891)Profit/(loss) on ordinary activities multiplied by UK rate of 24% (2012: 26.4%) 317 (499)Adjustments in respect of:UK Film Tax Relief (1,522) (297)Corporation tax under/(over) provided in previous years 457 (60)Deferred tax over provided in previous years (130) (620)Non-allowable depreciation on buildings 179 305Other non-allowable expenses 337 2,384Overseas tax at higher rate 23 –Utilisation of previously unrecognised tax losses (173) –Industrial buildings allowances – (24)Effect of taxation rate change on provision for deferred taxation (29) (133)Cash flow hedges 92 –Corporation tax (credit)/charge reported in the Group income statement (449) 1,056(c) Deferred taxDeferred tax relates to the following:Consolidated income statementYearended31 March2013£00015 monthsended31 March2012£000Deferred tax credit arising on accelerated capital allowances (120) (385)Short-term temporary differences (116) –Tax losses (328) –Cash flow hedge 92 –Deferred tax expense arising on share-based payments – 52Net deferred tax credit (472) (333)