Fraser & Neave Holdings Bhd Annual Report 2019

WWW . F N . C O M . M Y 188 F R A S E R & N E A V E H O L D I N G S B H D NOTES TO THE FINANCIAL STATEMENTS 23. TAX EXPENSE RECOGNISED IN PROFIT OR LOSS Group Company Note 2019 RM’000 2018 RM’000 2019 RM’000 2018 RM’000 Current tax expense Current year 107,954 28,700 12,943 3,825 Prior years 523 (2,420) 3 60 108,477 26,280 12,946 3,885 Deferred tax expense 10 Origination and reversal of temporary differences 14,946 16,603 – – Over provision in prior year (691) (5,159) – – Tax benefits arising from previously unrecognised tax losses – (91) – – 14,255 11,353 – – Total income tax expense 122,732 37,633 12,946 3,885 Deferred tax related to items recognised in other comprehensive income 10 Net actuarial gains or losses (1,714) 111 – – Reconciliation of tax expense Profit before tax 532,956 424,144 242,223 453,671 Income tax calculated using Malaysian tax rate of 24% (2018: 24%) 127,909 101,795 58,134 108,881 Effect of tax rates in foreign jurisdictions (16,577) (12,587) – – Tax exempt income (53) (47,291) (52,069) (105,329) Non-deductible expenses 4,607 2,553 378 273 Recognition of previously unrecognised tax losses – (91) – – Deferred tax assets recognised (625) (1,050) – – (Over)/Under provided in prior years (168) (7,579) 3 60 Foreign withholding tax 8,081 2,366 6,500 – Share of profit of equity-accounted associate, net of tax (2,193) (2,057) – – Share of loss of equity-accounted joint venture, net of tax 1,751 1,574 – – Total income tax expense 122,732 37,633 12,946 3,885 Effective income tax rate 23% 9% 5% 1%