Notes to the financial statements
Year ended 31 March 2016
25 Finance income and finance costs
Group
2016
2015
$’000
$’000
Interest income
4,126
6,272
Change in fair value of ECS
12,024
–
Net accretion adjustments for security deposits
–
2,001
Finance income
16,150
8,273
Interest expense
92,519
71,771
Amortisation of transaction costs
244
373
Net accretion adjustments for security deposits
840
–
Change in fair value of debt securities
–
16,574
Change in fair value of ECS
–
24,933
Finance costs
93,603
113,651
26 Tax expense
Group
2016
2015
$’000
$’000
Current tax expense
– Current year
3,156
3,946
– Under/(over) provision in respect of prior year
5,546
(21)
8,702
3,925
Deferred tax expense
Origination and reversal of temporary differences
16,438
2,818
Tax expense
25,140
6,743
Reconciliation of effective tax rate
Total return for the year before tax
369,273
404,348
Tax calculated using Singapore tax rate of 17% (2015: 17%)
62,776
68,739
Effect of different tax rate in foreign jurisdiction
5,905
1,422
Non-tax deductible items, net
18,509
9,476
Income not subject to tax
(5,922)
(14,253)
Tax on overseas profits to be remitted
808
–
Under/(over) provision in respect of prior year
5,546
(21)
Tax transparency
(62,482)
(58,620)
25,140
6,743
.192
A-REIT ANNUAL REPORT
2015/2016
