EasyJet 2014 Annual Report Download - page 114

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112 easyJet plc Annual report and accounts 2014
Notes to the accounts continued
5 Tax charge continued
Reconciliation of the total tax charge
The tax for the year is higher than (2013: lower than) the standard rate of corporation tax in the UK as set out below:
2014
£ million
2013
£ million
Profit before tax 581 478
Tax charge at 22.0% (2013: 23.5%) 128 112
Income not chargeable for tax purposes – (4)
Expenses not deductible for tax purposes 3 2
Share-based payments 2 3
Adjustments in respect of prior years – current tax (7) (11)
Adjustments in respect of prior years – deferred tax 8 6
Change in tax rate (3) (28)
131 80
Current tax payable at 30 September 2014 amounted to £53 million (2013: £58 million). £45 million of this relates to tax
payable in the UK, the remaining amount of £8 million related to tax due in other European countries.
During the year ended 30 September 2014 cash tax paid amounted to £96 million (2013: £65 million).
Tax on items recognised directly in other comprehensive income or shareholders' equity
2014
£ million
2013
£ million
(Charge)/credit to other comprehensive income
Deferred tax on fair value movements of cash flow hedges (10) 27
Credit to shareholders' equity
Current tax credit on share-based payments 7 3
Deferred tax credit on share-based payments 1 11
8 14
Deferred tax
The net deferred tax liability in the statement of financial position is as follows:
Accelerated
capital
allowances
£ million
Short-term
timing
differences
£ million
Fair value
gains
£ million
Share-based
payments
£ million
Total
£ million
At 1 October 2013 139 26
–
(21) 144
Charged/(credited) to income statement 32 3
–
(2) 33
Charged to other comprehensive income
–
–
10
–
10
Credited to shareholders' equity – – – (1) (1)
At 30 September 2014 171 29 10 (24) 186
Accelerated
capital
allowances
£ million
Short-term
timing
differences
£ million
Fair value
gains
£ million
Share-based
payments
£ million
Total
£ million
At 1 October 2012 146 30 29 (7) 198
Credited to income statement (7) (4) (2) (3) (16)
Credited to other comprehensive income – – (27) – (27)
Credited to shareholders' equity – – – (11) (11)
At 30 September 2013 139 26 – (21) 144
It is estimated that deferred tax assets of approximately £24 million (2013: deferred tax assets of £18 million) will reverse during
the next financial year.
Deferred tax assets and liabilities have been offset where they relate to taxes levied by the same taxation authority. As a result
the net UK deferred tax liability is £194 million (2013: £152 million). The net overseas deferred tax asset is £8 million (2013: £8 million).
No deferred tax liability has been recognised on the unremitted earnings of overseas subsidiaries as no tax is expected to be
payable in the foreseeable future based on the current repatriation policy of easyJet.