62
JOTUN A/S
5 INCOME TAX
INCOME TAX RELATED TO INCOME STATEMENT
(NOK THOUSAND) 2017 2016
Tax payable 202 138 163 297
Changes in deferred tax –4 261 –34 990
Income tax expense reported in income statement 197 877 128 308
RECONCILIATION OF THE EFFECTIVE RATE OF TAX AND
THE TAX RATE IN JOTUN A/S’ COUNTRY OF REGISTRATION
The table below reconciles the reported income tax expense to the expected income tax expense according to Norwegian corporate
income tax rate of 24 %:
(NOK THOUSAND) 2017 2016
Profit before tax 1 276 898 1 076 270
Expected income taxes according to income tax rate 24 per cent in Norway 306 456 269 068
Exempted tax on dividends –317 227 –330 874
Tax on dividends and surplus in NOKUS companies 44 992 52 531
Non-deductible expenses and non-taxable income* 77 157 80 614
Correction previous year and change in temporary differences 19 502 8 422
Taxation outside Norway less deductible in Norwegian Tax 66 997 48 546
Total income tax expense 197 877 128 308
Effective tax rate 15 % 12 %
*) Non-deductible expenses are primarily connected to write down of shares. See note 16 for further information.
TAX PAYABLE PRESENTED IN THE STATEMENT OF
THE FINANCIAL POSITION
(NOK THOUSAND) 2017 2016
Tax payable for the year 202 138 163 297
Net foreign tax paid –60 735 –27 858
Norwegian tax settlement for previous years 10 994 566
Withholding taxes receivable –61 153 –58 815
NOKUS tax receivable –16 531 –23 451
Skattefunn receivable –8 583 –2 066
Total tax payable in Norway and abroad 66 130 51 673
Tax payable in Norway 59 869 30 986
SPECIFICATION OF DEFERRED TAX
Deferred tax liability consists of tax liabilities that are payable in the future. The table below lists the timing differences between tax
accounting and financial accounting.
TEMPORARY DIFFERENCES
(NOK THOUSAND) 2017 2016
Non-current assets 79 001 55 190
Current assets –14 729 8 313
Liabilities –365 388 –334 166
Net temporary differences –301 115 –270 663
Tax rate* 23 % 24 %
Deferred tax asset recognised in the statement of financial position 69 256 64 959
*) The Norwegian nominal statutory tax rate will be reduced from 24 per cent in 2017 to 23 per cent in 2018.
STATEMENT OF COMPREHENSIVE INCOME
(NOK THOUSAND) 2017 2016
DEFERRED TAX RELATED TO ITEMS CHARGED DIRECTLY TO
COMPREHENSIVE INCOME DURING THE YEAR:
Actuarial gains / losses (–) on defined benefit pension plans 37 840
Income tax expenses charged directly to comprehensive income 37 840