NOTES TO THE FINANCIAL STATEMENTS
For the financial year ended 31 December 2015
85
ANNUAL REPORT 2015
13.
INCOME TAX EXPENSE (CONT’D)
(b)
Relationship between tax expense and accounting profit/(loss)
The reconciliation between tax expense and the product of accounting profit/(loss) multiplied by the applicable
statutory tax rate for the years ended 31 December 2015 and 2014 are as follows:
Group
2015
2014
$’000
$’000
Profit before tax from continuing operations
10,876
33,082
Loss before tax from discontinued operations (note 25)
–
(7,704)
Less: Share of results of associates and joint ventures *
(28,475)
(14,866)
(17,599)
10,512
Tax at statutory rate of 17% (2014: 17%)
(2,992)
1,787
Effect of different tax rates in other countries
548
633
(Over)/Under provision in respect of prior years
(1,948)
351
(Over)/Under provision of deferred tax in respect of prior years
(396)
36
Expenses/Losses not claimable
7,659
14,409
Income not subject to tax
(144)
(7,545)
Effect of partial tax exemption
(478)
(354)
Utilisation of previously unrecognised tax losses and unutilised capital allowances
(451)
(194)
Withholding tax expenses
1,728
–
Others
(135)
61
3,391
9,184
* These are presented net of tax in profit or loss.
Taxation for other jurisdictions are calculated at the rates prevailing in the respective jurisdictions. During the current
financial year, the income tax rate applicable to foreign subsidiaries are as follows:
2015
2014
Malaysia
25%
25%
Australia
30%
30%
China
25%
25%
