61
Notes to the Consolidated Financial Statements (continued)
For the year ended 31 December, 2012
(Expressed in Thousands of Trinidad and Tobago Dollars, except where otherwise stated)
5. Finance costs
2012
2011
$
$
Interest expense
211,214
184,786
Interest income
(251)
(83)
210,963
184,703
Foreign currency exchange loss
33,692
3,257
244,655
187,960
6. Taxation
a) Taxation (credit)/charge
Deferred taxation (Note 6 (c))
3,044
(82,577)
Current taxation
1,997
9,754
5,041
(72,823)
b) Reconciliation of applicable tax charge to effective tax charge
Loss before taxation from continuing operations
(378,669)
(457,252)
Gain before taxation from discontinued operations
–
9,411
Loss before taxation
(378,669)
(447,841)
Tax calculated at 25%
(94,667)
(111,960)
Net effect of other charges and disallowances
6,639
43,476
Tax losses for which no deferred tax income were recognised
131,843
46,000
Impact of income not subject to tax
(33,537)
(32,358)
Business and green fund levies
2,449
2,315
Effect of different tax rates outside Trinidad and Tobago
(7,686)
(20,296)
Taxation charge reported in the consolidated income statement
– continuing operations
5,041
(72,823)
Taxation charge attributable to a discontinued operation
–
–
5,041
(72,823)
A deferred tax asset of $131.9 million in relation to tax losses and capital allowances available for reducing future tax
payments was not recognised in the statement of financial position given the extended timeframe the losses are
estimated to be utilised.
Trinidad Cement Limited has tax losses of $945 million (2011: $868 million) available for set off against future
taxable profits.
Caribbean Cement Company Limited and its subsidiaries have tax losses of $565.6 million (2011: $492.5 million)
available for set off against future taxable profits.
Readymix (West Indies) Limited and its subsidiaries have tax losses of $13.6 million (2011: $9.9 million) available for
set off against future taxable profits.
These losses are subject to approval of the respective tax authorities.
