• Cover
• Contents
• Chairman's Review
• Managing Director’s Review
• Financial Review
• Senior Management
• Board of Directors
• Corporate Governance
• Financial and Statutory Reports
• Independent Auditor’s Report
• Shareholder Information
• Downloads
• Sitemap
• Shareholder Review

Note 5. Income Tax Expense
a) Income tax expense/(benefit)

Current tax expense/(benefit)

114.2
Deferred tax (benefit)/expense 20b)
6.9

(5.2)
Adjustments for current tax of prior periods
(7.5)
(4.0)
Refer

2007
$M
173.7
(29.3)
0.2
144.6
148.4
(3.8)
144.6
516.0
(60.7)
455.3
136.6
3.5
–
(0.3)
2.0
–
1.9
17.0
2.3
(16.8)
(0.3)
(4.7)
–
3.0
0.2
0.2
144.6
2006

Note

$M

2007
$M
(10.9)
(0.6)
3.7
(7.8)
(7.8)
–
(7.8)
251.5
–
251.5
75.5
0.2
(201.4)
–
1.4
111.4
–
–
–
–
–
–
–
1.4
3.7
–
(7.8)
$M

113.6

Income tax expense/(benefit) is attributable to –
Continuing operations

114.4
Discontinued operation 6b)
(0.8)
–

113.6

b) Reconciliation of income tax expense/(benefit)
to prima facie tax payable

Profit from continuing operations before income tax

428.0
Loss from discontinued operation before income tax 6b)
(32.0)
–

Prima facie income tax expense on profit at the Australian rate of 30%
Tax effect of permanent differences –
Non-allowable expenses
Non-assessable dividends
Tax offset for franked dividends
Other items
Impairments of –
investment in subsidiary
goodwill
Loss on disposal of the South Korean business
Overseas tax rates differential
Overseas withholding tax
Share of net (profit)/loss of joint venture entity
Deductible temporary differences from –
movement in derecognised amounts
utilisation of previously unrecognised tax losses
derecognition of deferred tax assets
Adjustments for current tax of prior periods
Change in overseas tax rate

396.0

118.8

2.8
–
(0.4)
0.8

–

–

–

1.8

(9.1)
0.1

8.3
(2.0)
–
(7.5)
–

294.9

88.5

–
(6.1)
–
(0.1)

–
–
–
–
–
–

–
(2.9)
–
(4.0)
–

Income tax expense/(benefit)

113.6

c) Australian tax consolidation

CCA has formed a consolidated group for income tax purposes, effective on and from 1 January 2003, with each of its wholly owned Australian
subsidiaries.

CCA, as the head entity, and the subsidiaries in the tax consolidated group continue to account for their own current and deferred tax amounts. The
amounts are measured as if each entity in the tax consolidated group continues to be a stand alone taxpayer in its own right. The current tax balances are
then transferred to CCA (being the head entity) via intercompany balances.

The method used to measure current and deferred tax amounts is summarised in Note 1h).

The entities within the Group have entered a tax funding arrangement whereby each subsidiary will compensate CCA for the amount of tax payable that
would be calculated as if the subsidiary was a tax paying entity.