| ANNUAL REPORT 2015
170
NOTES TO THE FINANCIAL STATEMENTS
30 June 2015 (cont’d)
29. TAX EXPENSE
Group
Company
2015
2014
2015
2014
RM’000
RM’000
RM’000
RM’000
Current tax expense based on profit for the financial year:
Malaysian income tax
16,486
21,702
283
270
Foreign income tax
5,604
5,538
-
-
22,090
27,240
283
270
Under/(Over) provision in prior years:
Malaysian income tax
240
(320)
(2)
(1)
Foreign income tax
(215)
(235)
-
-
25
(555)
(2)
(1)
22,115
26,685
281
269
Deferred tax (Note 13)
Relating to origination and reversal of temporary differences
(918)
(1,922)
-
(25)
Under provision in prior years
713
187
-
27
(205)
(1,735)
-
2
21,910
24,950
281
271
The Malaysian income tax is calculated at the statutory tax rate of 25% (2014: 25%) of the estimated taxable profits for the
fiscal year. The Malaysian income tax will reduce to 24% for year of assessment 2016, as announced in the 2015 Malaysian
Budget.
Tax expense for other taxation authorities are calculated at the rates prevailing in those respective jurisdictions.
The numerical reconciliation between the tax expense and the product of accounting profit multiplied by the applicable tax
rates of the Group and of the Company are as follows:
Group
Company
2015
2014
2015
2014
RM’000
RM’000
RM’000
RM’000
Profit before tax
72,706
85,540
10,402
53,405
Tax at Malaysian statutory tax rate of 25% (2014: 25%)
18,177
21,385
2,601
13,351
Tax effects in respect of:
Non-allowable expenses
5,053
5,989
2,128
6,220
Non-taxable income
(865)
(582)
(4,446)
(19,326)
Lower tax rates in foreign jurisdiction
(931)
(908)
-
-
Deferred tax assets not recognised
246
865
-
-
Tax incentive and allowances
(475)
(1,308)
-
-
Utilisation of previously unrecognised tax losses
(33)
(123)
-
-
21,172
25,318
283
245
Under/(Over) provision of tax expense in prior years
25
(555)
(2)
(1)
Under provision of deferred tax in prior years
713
187
-
27
21,910
24,950
281
271
