Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Income Tax Expense/ (Benefit)

v3.19.2
Income Tax Expense/ (Benefit)
12 Months Ended
Jan. 31, 2019
Income taxes [Abstract]  
Income Tax Expense/(Benefit)

7 Income Tax Expense/(benefit)

 

(a) The major components of tax expense/(benefit) comprise:

 

    For the Year
Ended
31 January 2019
NZ$000’s
    For the Year
Ended
31 January 2018
NZ$000’s
    For the 
7 Months Ended
31 January 2017
NZ$000’s
    For the Year
Ended
30 June 2016
NZ$000’s
 
Current tax                                
Current tax on profits for the period     (667 )     537       807       301  
Adjustments for current tax of prior periods     (607 )     (477 )     58       (344 )
Total current tax expense/(benefit)     (1,274 )     60       865       (43 )
Deferred tax expense/(benefit)                                
Decrease/(increase) in deferred tax assets (note 28)     -       -       -       5,589  
Income tax expense/(benefit) for continuing operations     (1,274 )     60       865       5,546  

 

(b) Reconciliation of income tax to accounting profit:

 

Loss before income tax     (50,492 )     (37,533 )     (15,114 )     (15,200 )
Tax at New Zealand tax rate of 28%     (14,138 )     (10,509 )     (4,232 )     (4,256 )
Tax effect of:                                
- permanent differences (including impairment expense)     753       (105 )     (6 )     757  
- adjustments in respect of current income tax of previous years     (522 )     (449 )     41       (237 )
- effects of different tax rates of subsidiaries operating in other jurisdictions     493       (30 )     (15 )     (42 )
- deferred tax assets relating to the current year not brought to account     12,077       11,150       5,119       3,934  
- deferred tax assets relating to prior periods no longer recognised (note 28)     -       -       -       5,589  
- other     63       3       (42 )     (199 )
Income tax expense/(benefit)     (1,274 )     60       865       5,546  

 

(c) Tax losses not recognised

 

    For the Year
Ended
31 January 2019
NZ$000’s
    For the Year
Ended
31 January 2018
NZ$000’s
    For the 
7 Months Ended
31 January 2017
NZ$000’s
    For the Year
Ended
30 June 2016
NZ$000’s
 
Unused tax losses for which no deferred tax asset has been recognised     130,587       87,455       43,269       23,765  
Potential tax benefit at 28%     36,564       24,487       12,115       6,654  

 

The Group has assessed future forecast profits and concluded that not enough criteria have been satisfied to recognise any deferred tax assets at the period ended 31 January 2019. Unused tax losses do not have an expiry date.

 

(d) Temporary differences not recognised  

 

    For the Year
Ended
31 January 2019
NZ$000’s
    For the Year
Ended
31 January 2018
NZ$000’s
    For the 
7 Months Ended 
31 January 2017
NZ$000’s
    For the Year
Ended
30 June 2016
NZ$000’s
 
Temporary differences for which no deferred tax asset has been recognised     14,504       14,661       18,703       19,924  
Potential tax benefit at 28%     4,061       4,105       5,237       5,579