Barclays 2011 Annual Report Download - page 170

Financial review
Income statement commentary continued
Other net income
2011
£m
2010
£m
2009
£m
Profit from associates 20 19 19
Profit from joint ventures 40 39 15
Share of post-tax results of
associates and joint ventures
60 58 34
(Loss)/profit on disposal of
subsidiaries, associates and
joint ventures
(94) 81 188
Gain on acquisitions – 129 26
Other net income (34) 268 248
2011
The share of post-tax results of associates and joint ventures was stable
at £60m. The loss on disposal was largely attributable to the £96m loss
arising from disposal of Barclays Bank Russia.
2010
The share of post-tax results of associates and joint ventures increased
£24m to £58m largely relating to Barclaycard and Absa. The profit on
disposal was largely attributable to the £77m profit arising from sale
of Barclays Africa custody business to Standard Chartered Bank.
On 1 January 2010, the Group acquired 100% of Standard Life Bank PLC
realising a gain on acquisition of £100m. On 31 March 2010, the Group
acquired 100% of the Italian credit card business of Citibank International
PLC realising a gain of £29m.
Tax
The table below shows the reconciliation between the actual tax charge
and the tax charge that would result from applying the standard UK
corporation tax rate to the Group’s profit before tax.
2011
£m
2010
£m
2009
£m
Profit before tax from continuing
operations
5,879 6,065 4,585
Tax charge based on the standard
UK corporation tax rate of 26.5%
(2010: 28%, 2009: 28%)
1,558 1,698 1,284
Effect of non-UK profits or losses
at different local statutory tax rates
190 108 (27)
Non-creditable taxes 567 454 175
Non-taxable gains and income (494) (572) (287)
Impact of share price movements
on share-based payments
147 41 (38)
Deferred tax assets (previously not
recognised) / not recognised
(816) (160) 27
Change in tax rates 17 34 (12)
Non-deductible impairment
charges, loss on disposals and UK
bank levy
770 68 19
Other items including
non-deductible expenses
120 (140) 153
Adjustments in respect of
prior years
(131) (15) (220)
Tax charge 1,928 1,516 1,074
Effective tax rate 32.8% 25.0% 23.4%
168 Barclays PLC Annual Report 2011 www.barclays.com/annualreport