2011-2012 Annual Report - Full Version - PDF - Palmerston North ...

Note 9Tax Council GroupActual Actual Actual Actual2012 2011 2012 2011$000 $000 $000 $000Components of tax expenseCurrent tax expense - - (198) (185)Adjustments to current tax in prior years 166 139 184 157Deferred tax expense - - (11) (45)Income tax refund/ (expense) 166 139 (25) (73)Relationship between tax expense and accounting profit:Surplus/(deficit) before tax (10,915) (3,613) (10,417) (2,264)Financial Statements Note 9Tax at 28% (2011 30%) 3,056 1,084 2,917 681Non-deductible expenditure - - 19 (6)Non-taxable income (3,056) (1,084) (3,109) (905)Prior year adjustment 166 139 148 157Tax refund / (expense) 166 139 (25) (73)Property, plant Employee OtherDeferred Tax Assets/(Liabilities) and equipment entitlements provisions TotalGROUPBalance at 1 July 2010 (2,972) 10 2 (2,960)Charged to surplus or deficit (44) (2) 1 (45)Balance at 30 June 2011 (3,016) 8 3 (3,005)Charged to surplus or deficit 7 (2) 6 11Charged to equity - revaluation surplus 242 - - 242Balance at 30 June 2012 (2,767) 6 9 (2,752)Additional disclosures◊◊During the year, tax losses were transferred toPNAL by tax loss offset with payment of $166,000and loss effect of $555,000.A deferred tax asset has not been recognised inrelation to unused tax losses of $799,000 (2011$722,000) with a tax effect of $223,000 (2011$216,000).◊Imputation credits of $2,155,000 (PNAL)are available to impute distributions fromsubsidiaries.152Palmerston North City Council Annual Report 2011/12