|
|
|||
|---|---|---|---|---|
€m |
2006 |
2007 |
||
Current income tax expense |
–338 |
–453 |
||
Current recoverable income tax |
62 |
10 |
||
|
–276 |
–443 |
||
Deferred tax income (previous year: tax expense) |
–221 |
183 |
||
Deferred tax expense from the reduction |
–63 |
–47 |
||
|
–284 |
136 |
||
Income tax expense |
–560 |
–307 |
||
The reconciliation to the effective income tax expense is shown below, based on consolidated net profit before income taxes, and the expected income tax expense:
Reconciliation to effective income tax expense |
|
|||
|---|---|---|---|---|
€m |
2006 |
2007 |
||
Consolidated net profit before income taxes |
2,842 |
2,192 |
||
Expected income tax expense |
1,134 |
875 |
||
Deferred tax assets from temporary differences not recognised for |
|
|
||
Initial differences |
–483 |
–735 |
||
Restructuring provisions |
–70 |
0 |
||
Deferred tax assets of German Group companies |
139 |
376 |
||
Deferred tax assets of foreign Group companies |
440 |
98 |
||
Changes in tax rates at German Group companies |
0 |
–188 |
||
Effect of current taxes from previous years |
–31 |
68 |
||
Tax-exempt income and non-deductible expenses, |
–503 |
–83 |
||
Differences in tax rates at foreign companies |
–50 |
–103 |
||
Other |
–16 |
–1 |
||
Effective income tax expense |
560 |
307 |
||
The difference between the expected and the effective income tax expense is due in particular to temporary differences between the carrying amounts in the IFRS financial statements and in the tax accounts of Deutsche Post AG resulting from initial differences in the opening tax accounts as at 1 January 1995. In accordance with IAS 12.15 (b) and IAS 12.24 (b), the Group did not recognise any deferred tax assets on these temporary differences, which relate mainly to property, plant and equipment as well as to provisions for pensions and other employee benefits.
The remaining temporary differences between the carrying amounts in the IFRS financial statements and in the opening tax accounts amount to €3.4 billion as at 31 December 2007 (previous year: €5.2 billion). The effects from deferred tax assets not recognised on tax loss carryforwards relate primarily to Deutsche Post AG and members of its consolidated tax group. Effects from deferred tax assets not recognised on tax loss carryforwards in respect of foreign companies relate primarily to the Americas region.
Effects from deferred tax assets not recognised amounting to €122 million (previous year: €–40 million) were due to the reversal of a write-down of deferred tax assets recognised in a prior period. The income tax expense was reduced by an amount of €51 million (previous year: €44 million) as a result of the utilisation of tax losses not previously reflected in the financial statements.
The change in the tax rate applying to German Group companies relates to the effects of the 2008 corporate tax reform. As the amount of deferred tax liabilities reported by German Group companies is considerably higher than the amount of deferred tax assets reported, remeasurement in financial year 2007 resulted in a tax benefit of around €188 million. The change in the tax rate in some foreign tax jurisdictions did not lead to any significant effects. The effects from Section 8b Körperschaftssteuergesetz (KStG – German corporate income tax act) relate primarily to the special funds, shares and equity investments of the Deutsche Postbank Group.
