6. Taxation
(a) Income tax (benefit)/expense
Accounting policy
Income tax on profit or loss for the year comprises current and deferred tax. Income tax is recognised in the statement of comprehensive income, except to the extent that it relates to items recognised directly in equity, in which case it is recognised in equity.
|
Expense |
Policy |
|
Current tax |
Represents the expected tax payable on taxable income for the year, using tax rates enacted or substantially enacted at the statement of financial position date, and any adjustment to tax payable in respect of previous years. |
|
Deferred tax |
Represents the expense relating to future tax consequences of all transactions undertaken in the current year regardless of when their tax impact may occur. |
(b) Numerical reconciliation of income tax expense to prima facie tax payable
|
June 2019 |
June 2018 |
|
|
$’000 |
$’000 |
|
|
(Loss)/profit from continuing operations before income tax |
(11,664) |
(5,423) |
|
Tax at the Australian tax rate of 30.0% (2018 - 30.0%) |
3,499 |
1,627 |
|
Non-deductible expenses |
(127) |
- |
|
Tax adjustments relating to prior years |
55 |
- |
|
Income tax benefit / (expense) |
3,427 |
1,627 |
(c) Amounts recognised directly in equity
Aggregate current and deferred tax arising in the reporting period and not recognised in net profit or loss but directly debited or credited to equity.
|
June 2019 |
June 2018 |
|
|
$’000 |
$’000 |
|
|
Net deferred tax |
- |
1,895 |
(d) Deferred tax balances
Net position as presented in the statement of financial position
|
June 2019 |
June 2018 |
|
|
$’000 |
$’000 |
|
|
Net deferred tax liabilities |
||
|
Deferred tax assets |
18,909 |
16,470 |
|
Deferred tax liabilities |
(47,024) |
(48,012) |
|
(28,115) |
(31,542) |
(i) Deferred tax assets
|
June 2019 |
June 2018 |
|
|
$’000 |
$’000 |
|
|
The balance comprises temporary differences attributable to: |
||
|
Property, plant and equipment |
15,491 |
15,454 |
|
Tax losses carried forward |
3,065 |
884 |
|
Sundry items |
353 |
132 |
|
18,909 |
16,470 |
|
Movements |
Property, plant and equipment |
Other items |
Total |
|
$’000 |
$’000 |
$’000 |
|
|
At 1 July 2017 |
10,847 |
- |
10,847 |
|
Charged/(credited) - profit or loss |
(40) |
926 |
886 |
|
Acquisition |
4,647 |
90 |
4,737 |
|
At 30 June 2018 |
15,454 |
1,016 |
16,470 |
|
At 1 July 2018 |
15,454 |
1,016 |
16,470 |
|
Charged/(credited) - profit or loss |
37 |
2,402 |
2,439 |
|
Acquisition |
- |
- |
- |
|
At 30 June 2019 |
15,491 |
3,418 |
18,909 |
(ii) Deferred tax liabilities
|
June 2019 |
June 2018 |
|
|
$’000 |
$’000 |
|
|
The balance comprises temporary differences attributable to: |
||
|
Property, plant and equipment |
46,908 |
47,895 |
|
Sundry items |
116 |
117 |
|
47,024 |
48,012 |
|
Movements |
Property, plant and equipment |
Sundry items |
Total |
|
$’000 |
$’000 |
$’000 |
|
|
At 1 July 2017 |
46,740 |
118 |
46,858 |
|
Charged/(credited) |
|||
|
- to profit or loss |
(740) |
(1) |
(741) |
|
- to other comprehensive income |
1,895 |
- |
1,895 |
|
At 30 June 2018 |
47,895 |
117 |
48,012 |
|
At 1 July 2018 |
47,895 |
117 |
48,012 |
|
Charged/(credited) |
|||
|
- to profit or loss |
(987) |
(1) |
(988) |
|
- to other comprehensive income |
- |
- |
- |
|
At 30 June 2019 |
46,908 |
116 |
47,024 |
(iii) Net deferred tax
|
June 2019 |
June 2018 |
|
|
$’000 |
$’000 |
|
|
The net balance comprises temporary differences attributable to: |
||
|
Property, plant and equipment |
(31,417) |
(32,441) |
|
Sundry items |
3,302 |
899 |
|
(28,115) |
(31,542) |
Visit
https://www.transparency.gov.au/annual-reports/australian-naval-infrastructure-pty-ltd/reporting-year/2018-2019-58