Notes to OP Financial Group Financial Statements

NOTES TO THE INCOME STATEMENT

 

Note 17. Income tax


EUR million 2014 2013
Restated*
Current tax 337 133
Tax for previous financial years 25 -11
Deferred tax -54 -87
Income tax expense 308 36



Corporate income tax rate 20 24.5

Reconciliation between tax expense in the income statement and tax expense calculated by the applicable tax rate


Earnings before tax 915 701
Tax calculated at a tax rate of 20.0% (2013 24.5%) 183 172

Tax for previous financial years 25 -11

Income not subject to tax -33 -16

Expenses not deductible for tax purposes 28 25

Re-evaluation of unrecognised tax losses 4 8

Tax adjustments -10 6

Effect of internal Group capital gains on Pohjola transaction 109 -

Tax rate change on 1 Jan 2014 - -153

Other items 3 5
Tax expense 308 36

* Comparative figures have been restated as a result of the adoption of IFRS 10 Consolidated Financial Statements.