25 NET DIVESTMENT EXPENSES
In 2013, net divestment expenses relate to the expenses incurred in connection with the
disposal of strata units in Somerset Grand Fortune Garden Property Beijing.
26 INCOME TAX EXPENSE
Group
Trust
2014
2013
2014
2013
$’000
$’000
$’000
$’000
Current tax expense
Current year
21,530
19,303
70
273
Under/(over) provided in prior years
716
(2,450)
11
(6)
Withholding tax
2,990
2,579
–
–
25,236
19,432
81
267
Deferred tax expense
Origination and reversal of temporary
differences
11,451
20,861
−
−
Under/(over) provided in prior years
256
(4,084)
−
−
11,707
16,777
−
−
Income tax expense
36,943
36,209
81
267
Reconciliation of effective tax rate
Group
Trust
2014
2013
2014
2013
$’000
$’000
$’000
$’000
Total return before income tax
167,315
251,563
32,486
43,221
Income tax using the Singapore tax rate of
17% (2013: 17%)
28,444
42,766
5,523
7,348
Effect of different tax rates in foreign
jurisdictions
19,302
21,641
–
–
Tax rebate/relief/exemption
(18)
(10)
(12,117)
(9,487)
Income not subject to tax
(32,001)
(43,608)
(500)
(3,255)
Tax benefits not recognised
1,434
2,346
–
–
Expenses not deductible for tax purposes
16,502
17,671
7,247
6,156
Utilisation of previously unrecognised
tax losses
(599)
(153)
–
–
Tax transparency
(83)
(489)
(83)
(489)
Under/(over) provision in prior years
972
(6,534)
11
(6)
Withholding tax
2,990
2,579
–
–
36,943
36,209
81
267
Notes to the Financial Statements
Year ended 31 December 2014
168 | Ascott Residence Trust Annual Report 2014
