NOTES TO
FINANCIAL STATEMENTS
December 31, 2015
126
CITIC ENVIROTECH LTD.
Annual Report
2015
34 INCOME TAX EXPENSE (cont’d)
(b) The income tax expense varied from the amount of income tax expense determined by
applying the Singapore domestic income tax rate of 17% (March 31, 2015 : 17%) to profit
before income tax as a result of the following differences:
Group
April 1,
April 1,
2015 to 2014 to
December
31,
March
31,
2015
2015
$’000
$’000
Profit before income tax
61,471
79,911
Tax expense at the Singapore domestic income tax rate of 17%
10,450
13,585
Tax effect of expense that are not deductiblein determining
taxable profits
2,783
2,054
Deferred tax benefit not recognised
3,655
1,088
Effect of different tax rates of subsidiaries operating in other
jurisdictions
1,423
2,241
Tax exempt income
(1,021)
(1,508)
Underprovision in prior years
134
39
Withholding tax
388
368
Others
1,049
(387)
Total
18,861
17,480
The Group has tax losses carry forwards available for offsetting against future taxable income
as follows:
Group
April 1,
April 1,
2015 to 2014 to
December
31,
March
31,
2015
2015
$’000
$’000
Amount at beginning of year
30,867
26,515
Amount arising
18,715
4,352
Amount at end of year
49,582
30,867
Deferred tax benefit on above unrecorded
10,274
5,595
