Tropicana Corporation Berhad Annual Report 2020

12. INCOME TAX EXPENSE Group Company 2020 2019 2020 2019 RM'000 RM'000 RM'000 RM'000 Current income tax: Malaysian income tax 59,814 57,279 426 1,261 Under/(over)provision in prior years 3,182 (2,646) 2 (457) 62,996 54,633 428 804 Real property gain tax: Current financial year 1,543 2,290 – – Overprovision in prior years – (398) – – 1,543 1,892 – – Deferred tax (Note 31): Origination and reversal of temporary differences 28,731 4,662 463 (49) (Over)/underprovision in prior years (1,423) (33,048) (349) 9 27,308 (28,386) 114 (40) Total income tax expense 91,847 28,139 542 764 Domestic income tax is calculated at the Malaysian statutory tax rate of 24% (2019: 24%) of the estimated assessable profit for the financial year. Taxation for other jurisdictions is calculated at the rates prevailing in the respective jurisdictions. 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: 2020 2019 RM'000 RM'000 Group Profit before tax 238,404 367,474 Taxation at Malaysian statutory tax rate of 24% (2019: 24%) 57,217 88,194 Tax incentive and income not subject to tax (450) (75,900) Expenses not deductible for tax purposes 53,597 52,963 Effect on income taxed under real property gain tax (17,923) 210 Deferred tax assets not recognised 1,988 15,072 Utilisation of previously unrecognised tax losses and unabsorbed capital allowances (3,170) (13,409) Share of results of joint ventures 280 (2,702) Share of results of an associate (1,451) (197) Overprovision of deferred tax in prior years (1,423) (33,048) Under/(over)provision of tax expense in prior years 3,182 (2,646) Overprovision of real property gain tax in prior years – (398) Income tax expense 91,847 28,139 Company Loss before tax (28,755) (58,054) Taxation at Malaysian statutory tax rate of 24% (2019: 24%) (6,901) (13,933) Income not subject to tax (8,910) (11,867) Expenses not deductible for tax purposes 16,700 27,012 (Over)/underprovision of deferred tax in prior years (349) 9 Under/(over)provision of tax expense in prior years 2 (457) Income tax expense 542 764 NOTES TO THE FINANCIAL STATEMENTS For the financial year ended 31 December 2020 ANNUAL REPORT 2020 TROPICANA CORPORATION BERHAD FINANCIAL STATEMENTS AND OTHER INFORMATION 208 209