Tropicana Corporation Berhad Annual Report 2019

For the financial year ended 31 December 2019 Notes to the Financial Statements 12. INCOME TAX EXPENSE (CONT’D.) The reconciliation between tax expense and the product of accounting profit/(loss) multiplied by the applicable corporate tax rate are as follows: 2019 2018 RM’000 RM’000 Group Profit before tax 367,474 320,231 Taxation at Malaysian statutory tax rate of 24% (2018: 24%) 88,194 76,855 Tax incentive and income not subject to tax (75,900) (11,245) Expenses not deductible for tax purposes 52,963 32,732 Effect on income taxed under real property gain tax 210 4,070 Effect on different tax rates used – 3,299 Deferred tax assets not recognised 15,072 11,473 Utilisation of previously unrecognised tax losses and unabsorbed capital allowances (13,409) (1,304) Share of results of joint ventures (2,702) (101) Share of results of an associate (197) (131) Overprovision of deferred tax in prior years (33,048) (3,699) (Over)/underprovision of tax expense in prior years (2,646) 28,417 (Over)/underprovision of real property gain tax in prior years (398) 34 Income tax expense 28,139 140,400 Company Loss before tax (58,054) (14,881) Taxation at Malaysian statutory tax rate of 24% (2018: 24%) (13,933) (3,571) Income not subject to tax (11,867) (6,720) Expenses not deductible for tax purposes 27,012 10,971 Under/(over)provision of deferred tax in prior years 9 (187) (Over)/underprovision of tax expense in prior years (457) 713 Income tax expense 764 1,206 Tropicana Corporation Berhad Annual Report 2019 pg 164 About Tropicana Our Strategic Performance Our Leadership