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103Experian Annual Report 2009
Introduction
2 – 7
Business review
8 – 43
Governance
44 – 72
Financial statements
Group nancial statements
10. Tax expense
2009 2008
(Restated)
(Note 2)
US$m US$m
(a) Analysis of expense recognised in the Group income statement
Current tax:
UK Corporation tax on income for the year – (15)
Adjustments in respect of prior years (28) (43)
(28) (58)
Non-UK tax:
Tax on income for the year 54 110
Adjustments in respect of prior years – 1
54 111
Total current tax charge for the year 26 53
Deferred tax:
Origination and reversal of temporary differences 61 28
Adjustments in respect of prior years (3) 10
Total deferred tax charge for the year 58 38
Total tax expense in the Group income statement 84 91
The total tax expense comprises:
UK tax (43) (67)
Non-UK tax 127 158
Total tax expense in the Group income statement 84 91
(b) Tax reconciliations
2009 2008
(Restated)
(Note 2)
US$m US$m
(i) Reconciliation of the tax expense reported in the Group income statement
Prot before tax 578 521
Add: tax expense on share of prots of associates 2 6
Adjusted prot before tax 580 527
Adjusted prot before tax multiplied by the standard rate of corporation tax
in the UK of 28% (2008: 30%) 162 158
Effects of:
Other adjustments to tax charge in respect of prior years (31) (32)
Income not taxable (25) (24)
Expenses not deductible 53 48
Adjustment in respect of previously unrecognised tax losses 1 10
Tax expense on share of prots of associates (2) (6)
Effect of different tax rates in non-UK businesses (74) (63)
Total tax expense in the Group income statement 84 91
The effective rate of tax, after adjusting for the net income from associates, is 14.5% (2008: 17.5% as restated (see note 2)),
based on the prot before tax for the year ended 31 March 2009 of US$578m (2008: US$521m) and the associated tax charge
of US$84m (2008: US$91m). The effective tax rate for the year is lower than the standard rate of corporation tax in the UK of
28% (2008: 30%) and the differences are explained above. The standard rate of corporation tax for the Group’s UK businesses
changed from 30% to 28% with effect from 1 April 2008.