NOTES TO THE FINANCIAL STATEMENTS l NOTE 27


27.

Taxation

 
  GROUP
June 2014
R000
  GROUP
June 2013
R000
  COMPANY
June 2014
R000
  COMPANY
June 2013
R000
 
Major components of the taxation expense                
Current taxation — current year 1 896   1 927          
Current taxation — prior year 86       62      
Deferred taxation — current year 17 725   (2 240 935)   17 885   (2 240 894)  
Deferred taxation — prior year (1 988)       (1 988)      
Tax for the year/period 17 719   (2 239 008)   15 959   (2 240 894)  
Reconciliation of taxation charge                
Net profit before taxation at 28% 552 807   419 115   509 612   417 719  
Permanent differences (562 173)   (439 105)   (514 721)   (439 105)  
Prior year tax adjustment                
     Income tax 86   1 552   62      
     Deferred tax (1 988)       (1 988)      
Capital gains taxation     10 414       10 414  
Unrecognised deferred tax asset 30 166       19 280      
Adjustment in respect of Hyprop Investments (Mauritius) Limited (4 893)   (1 062)          
REIT reversal 3 714   (2 229 922)   3 714   (2 229 922)  
Taxation expense recognised in statements of comprehensive income 17 719   (2 239 008)   15 959   (2 240 894)  

Hyprop converted to a REIT from 1 July 2013. South African REITs are not subject to capital gains taxation. Therefore 100% of deferred capital gains taxation was eliminated through the statement of comprehensive income on 30 June 2013.

The taxation rate applied in the reconciliations above was 28%.


NOTES TO THE FINANCIAL STATEMENTS l NOTE 27