Chemical Company of Malaysia Berhad Annual Report 2018

19. TAX EXPENSE Recognised in profit or loss Group Company 2018 2017 2018 2017 Tax expense on continuing operations 20,872 17,374 4,534 126 Tax expense on discontinued operation – 9,312 – – Share of tax of equity-accounted associate 362 162 – – Total tax expense 21,234 26,848 4,534 126 Major components of income tax expense include: Current tax expense Malaysian - current year 16,163 21,952 117 296  - prior years 3,146 850 3,570 552 Total current tax recognised in profit or loss 19,309 22,802 3,687 848 Deferred tax expense Origination and reversal of temporary differences (8,135) 1,736 (9,038) (604) Under/(Over) provision in prior years 270 2,148 457 (118) Total deferred tax recognised in profit or loss (Note 9) (7,865) 3,884 (8,581) (722) 11,444 26,686 (4,894) 126 Real Property Gain Tax 9,428 – 9,428 – Share of tax of equity-accounted associate 362 162 – – Total tax expense 21,234 26,848 4,534 126 Reconciliation of effective tax rate % % % % Profit before tax 100 100 100 100 Income tax calculated using Malaysian tax rate of 24% 24 24 24 24 Non-deductible expenses 14 8 88 56 Non-taxable income (5) (5) (110) (85) Under/(Over) provision in prior years 7 4 56 6 Effect of unrecognised deferred tax assets – 9 – – 40 40 58 1 163 CHEMICAL COMPANY OF MALAYSIA BERHAD