10. Taxation
(a) Tax expense included in Profit and Loss
2017 €’000 | 2016 €’000 | |
Current tax: | ||
Based on Port activity profits for the year: | ||
Corporation Tax at an effective rate of 12.5% (2016:12.5%) | (4,136) | (4,103) |
Based on non-Port activity profits | ||
Corporation Tax at an effective rate of 25% (2016:25%) | (391) | (462) |
(4,527) | (4,565) | |
Adjustments in respect of prior periods | - | 1 |
Total current tax | (4,527) | (4,564) |
Deferred tax: | ||
Timing differences between pension contributions paid and pensions charged | (580) | (949) |
Timing differences on accelerated Capital Allowances | (653) | (510) |
Origination and reversal of other timing differences | (18) | (35) |
Over provision in prior year | 9 | 16 |
Total deferred tax | (1,242) | (1,478) |
Total tax charge | (5,769) | (6,042) |
(b) Tax income/(expense) included in other Comprehensive Income | ||
Deferred tax | ||
Deferred tax related to defined benefit pension re-measurement loss/(gain) | (4,357) | 995 |
Total tax income/(expense) included in other Comprehensive Income | (4,357) | 995 |
(c) Reconciliation of tax charge
The total Corporation Tax charge for the financial year is lower (2016: higher) than the total tax charge that would result from applying the standard rate of Irish Corporation Tax to profit on ordinary activities. The differences are explained below:
2017 €’000 | 2016 €’000 | |
Profit on Ordinary Activities Before Tax | 46,344 | 45,082 |
Profit on ordinary activities multiplied by the average rate of | ||
Irish Corporation Tax for the year of 12.5% (2016:12.5%) | (5,793) | (5,635) |
Effects of: | ||
Disallowable expenses | (27) | (258) |
Non-taxable income | 238 | 65 |
Passive income liable to tax at 25% | (196) | (231) |
Adjustment to tax charge in respect of prior year | 9 | 17 |
Total tax charge for the year | (5,769) | (6,042) |
