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National Grid Gas plc Annual Report and Accounts 2009/10 51
7. Taxation continued
Factors that may affect future tax charges
8. Dividends
The following table shows the dividends paid to equity shareholders:
2010 2009
pence pence
(per ordinary 2010 (per ordinary 2009
share) £m share) £m
Ordinary dividends
Interim dividend for the year ended 31 March 2010 7.61 300 --
Interim dividend for the year ended 31 March 2009 --7.61 300
7.61 300 7.61 300
9. Intangible assets
Software
£m
Non-curren
t
Cost at 1 April 2008 125
A
dditions 32
Disposals (8)
Cost at 31 March 2009 149
A
dditions 68
Disposals (1)
Reclassifications (i) 5
Cost at 31 March 2010 221
A
mortisation at 1 April 2008 (65)
A
mortisation charge for the year (15)
Disposals 8
A
mortisation at 31 March 2009 (72)
A
mortisation charge for the year (19)
Disposals 1
A
mortisation at 31 March 2010 (90)
Net book value at 31 March 2010 131
Net book value at 31 March 2009 77
Furthermore a number of additional issues will also be the subject of future consultation such as a possible general anti-avoidance rule. We
will monitor the impact of these proposals on our future tax charge.
Further changes were announced in the UK Government's Emergency Budget on 22 June 2010. This included a reduction in the main
corporation tax rate from the current 28% to 24% comprising a 1% per annum reduction over the course of a four year period commencing
from 1 April 2011. In addition, the rate of capital allowances on assets in the main pool is expected to fall from 20% to 18% and long life
assets from 10% to 8% from 1 April 2012. We are in the process of evaluating the impact these changes will have on future tax charges.
Additionally, the worldwide debt cap, which restricts the amount of finance expense available for UK tax purposes, will apply for accounting
periods ended 31 March 2011 onwards but is not expected to have a material effect on our future tax charge.
There is currently ongoing consultation on the reform of the controlled foreign company legislation. The outcome of the consultation process
will not be known for some time and we will monitor the impact of the taxation on our holdings in our overseas operations.
A number of changes to the UK Corporation Tax system were announced in the 2010 Budget Report which have been enacted in the 2010
Finance Act. The impact of these is not considered to be material to the future tax charge in the UK.
(i) Represents reclassification between categories - see note 10.
Current other intangible assets are presented together with inventories in note 13 and consist of emissions allowances of £15m (2009: £5m).