Notes to the consolidated financial statements continued 13. Income tax expense Recognised in the income statement In millions of EUR 2012 2011 Current tax expense Current year 639 502 Undercover) provided in prior years (6) (26) 633 476 Deferred tax expense Origination and reversal of temporary differences (90) 17 Previously unrecognised deductible temporary differences (28) (9) Changes in tax rate 4 1 Utilisation/(benefit) of tax losses recognised (6) (19) Undercover) provided in prior years 12 (1) (108) (11) Total income tax expense in the income statement 525 465 Reconciliation of the effective tax rate 2012 Profit before income tax 3,634 2,025 Share of net profit of associates and joint ventures and impairments thereof (213) (240) Profit before income tax excluding share of profit of associates and joint ventures (including impairments thereof) 3,421 1,785 2012 Income tax using the Company's domestic tax rate 25.0 855 25.0 446 Effect of tax rates in foreign jurisdictions 1.8 63 3.5 62 Effect of non-deductible expenses 1.9 64 3.2 58 Effect of tax incentives and exempt income (13.8) (472) (6.0) (107) Recognition of previously unrecognised temporary differences (0.8) (28) (0.5) (9) Utilisation or recognition of previously unrecognised tax losses (0.5) (17) (0.3) (5) Unrecognised current year tax losses 0.7 25 1.0 18 Effect of changes in tax rate 0.1 4 0.1 1 Withholding taxes 0.8 27 1.5 26 Undercover) provided in prior years 0.2 6 (1.5) (27) Other reconciling items (0.1) (2) 0.1 2 15.3 525 26.1 465 The lower reported tax rate in 2012 of 15.3 per cent (2011:26.1 per cent) can be explained by the tax exempt remeasurement of HEINEKEN's PHEI in APIPL/APB, prior to consolidation. Income tax recognised in other comprehensive income Note 2012 Changes in fair value (24) - Changes in hedging reserve (18) 13 Changes in translation reserve (22) 11 Other 123 16 24 59 40 102 Heineken N.V. Annual Report 2012

Jaarverslagen en Personeelsbladen Heineken

Jaarverslagen | 2012 | | pagina 104