National Grid 2008 Annual Report Download - page 654

BOWNE INTEGRATED TYPESETTING SYSTEM
CRC: 42051
Name: NATIONAL GRID
Date: 17-JUN-2008 03:10:51.35Operator: BNY99999TPhone: [phone]Site: BOWNE OF NEW YORK
Y59930.SUB, DocName: EX-15.1, Doc: 16, Page: 127
Description: EXHIBIT 15.1
0/9323.00.00.00Y59930BNY
[E/O] EDGAR 2 *Y59930/323/9*
BOWNE INTEGRATED TYPESETTING SYSTEM
CRC: 42051
Name: NATIONAL GRID
Date: 17-JUN-2008 03:10:51.35Operator: BNY99999TPhone: [phone]Site: BOWNE OF NEW YORK
Y59930.SUB, DocName: EX-15.1, Doc: 16, Page: 127 Description: EXHIBIT 15.1
0/9323.00.00.00Y59930BNY
[E/O] EDGAR 2 *Y59930/323/9*
Table of Contents
Annual Report and Accounts 2007/08
135
7. Taxation
Taxation on items charged/(credited) to the income statement
Taxation as a percentage of profit before taxation
The tax charge for the year can be analysed as follows:
*Comparatives have been adjusted to present items on a basis consistent with the current year classification
Taxation on items charged/(credited) to equity
2008 2007 2006
£m £m £m
Taxation before exce
p
tional items, remeasurements and stranded cost recoveries* 583 442 369
Exce
p
tional tax item
–
deferred tax credit arisin
g
from the reduction in UK tax rate
(
170
)
–
–
Taxation on other exce
p
tional items, remeasurements and stranded cost recoveries* 198
(
1
)
166
Taxation on total exce
p
tional items, remeasurements and stranded cost recoveries
(
note 4
)
*28
(
1
)
166
Total tax char
g
e 611 441 535
2008 2007 2006
% % %
Before exce
p
tional items, remeasurements and stranded cost recoveries* 31.7 29.7 27.0
After exceptional items, remeasurements and stranded cost recoveries 27.9 25.2 31.1
2008 2007 2006
£m £m £m
United Kin
g
dom
Cor
p
oration tax at 30%
(
2007: 30%; 2006: 30%
)
214 66 269
Corporation tax adjustment in respect of prior years (i) (156) (28) (8)
Deferred tax 42 168 6
Deferred tax ad
j
ustment in res
p
ect of
p
rior
y
ears
(
ii
)
67 9
(
6
)
167 215 261
Overseas
Corporate tax 213 109 122
Cor
p
orate tax ad
j
ustment in res
p
ect of
p
rior
y
ears 31
(
149
)
23
Deferred tax 191 207 158
Deferred tax ad
j
ustment in res
p
ect of
p
rior
y
ears 9 59
(
29
)
444 226 274
Total tax char
g
e 611 441 535
(i) The UK corporation tax adjustment in respect of prior years includes a £9m charge (2007: £51m credit; 2006: £nil) that relates to exceptional items, remeasurements and stranded cost
recoveries.
(ii) The UK deferred tax adjustment in respect of prior years includes a £2m charge (2007: £5m credit; 2006: £nil) that relates to exceptional items, remeasurements and stranded cost
recoveries.
2008 2007 2006
£m £m £m
Cor
p
orate tax credit on share-based
p
a
y
ments
(
7
)
(
2
)
–
Deferred tax
(
credit
)
/char
g
e on available-for-sale investments
(
2
)
1 1
Deferred tax (credit)/charge on revaluation of cash flow hedges (2) 10 (20)
Deferred tax char
g
e/
(
credit
)
on share-based
p
a
y
ments 12
(
11
)
(
7
)
Deferred tax char
g
e on actuarial
g
ains 98 70 62
99 68 36
Total tax char
g
e reco
g
nised in consolidated statement of reco
g
nised income and ex
p
ense 94 81 43
Total tax charge/(credit) relating to share-based payments recognised directly in equity
(
note 26
)
5
(
13
)
(
7
)
99 68 36