11. Taxation
(a) Tax expense included in Profit and Loss | ||
| 2016 €’000 | 2015 €’000 | |
Current tax: | ||
Based on Port activity profits for the year: | ||
Corporation Tax at an effective rate of 12.5% (2015:12.5%) | (4,103) | (3,864) |
Based on non-Port activity profits | ||
Corporation Tax at an effective rate of 25% (2015:25%) | (462) | (426) |
(4,565) | (4,290) | |
Adjustments in respect of prior periods | 1 | 8 |
Total current tax | (4,564) | (4,282) |
Deferred tax: | ||
Timing differences between pension contributions paid and pensions charged | (949) | (593) |
Timing differences on accelerated Capital Allowances | (510) | (681) |
Origination and reversal of other timing differences | (35) | (3) |
Over provision in prior year | 16 | 7 |
Total deferred tax | (1,478) | (1,270) |
Total tax charge | (6,042) | (5,552) |
| ||
Deferred tax | ||
- Deferred tax related to defined benefit pension re-measurement loss/(gain) | 995 | (2,418) |
Total tax income/(expense) included in other Comprehensive Income | 995 | (2,418) |
(c) Reconciliation of tax charge
The total Corporation Tax charge for the financial year is higher (2015: higher) than the total tax charge that would result from applying the standard rate of Irish Corporation Tax to profit on ordinary activities. The differences are explained below:
| 2016 €’000 | 2015 €’000 | |
Profit on Ordinary Activities Before Tax | 45,082 | 41,924 |
Profit on ordinary activities multiplied by the average rate of | ||
Irish Corporation Tax for the year of 12.5% (2015:12.5%) | (5,635) | (5,240) |
Effects of: | ||
Disallowable expenses | (258) | (214) |
Non-taxable income | 65 | 100 |
Passive income liable to tax at 25% | (231) | (213) |
Adjustment to tax charge in respect of prior year | 17 | 15 |
Total tax charge for the year | (6,042) | (5,552) |
