LAPORAN TAHUNAN A N N U A L R E P O R T - Ahp.com.my

Laporan Tahunan 2009
Annual Report 2009 88
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2009 (CONTD.)
9. BORROWING COSTS
Included in the borrowing costs are arrangement fee, stamp duty and legal fee incurred in obtaining the revolving credit-i
facility of RM65 million from CIMB Islamic Bank Berhad for financing the proposed upgrading and refurbishment of Plaza
VADS. As at 31 December 2009, no drawdown has been made.
10. TAXATION
2009 2008
RM RM
Tax expense for the year - -
The Trust has been exempted from income tax on all income provided that at least 90% of its total income pursuant
to Section 61(A) of the Income Tax Act, 1967 is distributed to the unit holders in the basis period effective from year of
assessment 2007.
If less than 90% of its total income is distributed, then all the income of the REIT will be subject to tax at 25% (2008: 26%).
The amount distributed from the REIT will be grossed up to take into account the underlying tax of the REIT and the unit
holder will be taxed on the gross distribution at the relevant tax rates. Such distributions carry a tax credit, which will be
available for set-off against the income tax chargeable on the unit holder.
There is no tax expense for the current financial year as AHP will distribute its entire total chargeable income to tax for the
current year of assessment 2009.The Malaysian tax rate is calculated at the statutory tax rate of 25% (2008: 26%) of the
estimated assessable profit for the year.
A reconciliation of income tax expense applicable to net income before taxation at the statutory income tax rate to income
tax expense at the effective income tax rate of the Trust is as follows:
2009 2008
RM RM
Net income before taxation 7,463,580 8,750,629
Taxation at Malaysia statutory tax rate of 25% (2008: 26%) 1,865,895 2,275,164
Effect of income not subject to tax (152,830) (563,982)
Effect of expenses not deductible for tax purposes 151,740 191,980
Effect of income distribution exempted from tax at trust level (1,687,027) (1,594,865)
Utilisation of current year capital allowances (177,778) (308,297)
Tax expense for the year - -