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Integrated Report 2016
ANNUAL FINANCIAL STATEMENTS
(continued)
SIX
THREE
ONE
FOUR
TWO
7.
TAXATION
(continued)
2016
%
2015
%
Reconciliation of the taxation rate:
Effective rate
31.0
41.5
Adjusted for:
Exempt income (dividend income)
1.9
2.1
Non-realisation of deferred tax
0.1
(6.3)
Non-deductible expenses*
(6.2)
(13.9)
Prior year under provision**
(2.0)
(0.9)
Equity accounted earnings
3.0
5.4
Utilisation of tax loss not previously recognised
0.4
–
Other
(0.2)
0.1
South African normal tax rate
28.0
28.0
The Group has tax losses of R108.7 million (2015: R207.1 million) for offsetting against future taxable profits of the companies in which
the tax losses arose. The Group has utilised R16.7 million (2015: R155.4 million) of the tax losses relating to South African operations. All
unutilised assessed losses from continuing operations has been recognised as deferred tax asset in the current year.The unutilised
assessed loss of R11 million has not been recognised as deferred tax asset in the prior year.
2016
R’000
2015
R’000
Expiry
Ghana***
–
15 583 Between two and five years
India****
–
56 008 Between five and eight years
South Africa
108 698
135 477 Indefinite
108 698
207 068
* Includes amortisation/impairment of intangibles, share-based payment expenses, professional fees, impairment of investments
amongst others
** Current tax and deferred tax
*** Discontinued operations (refer note 2)