Jessonne's controlling shareholder moves its head office abroad; Jessonne loses a group tax regime and its differences will be taxed at 28% instead of 20% (legislation in the case). Its taxable differences comprise 350,000 arising from accelerated tax depreciation and 150,000 arising from a revaluation recognised in OCI. Compute the effect in profit or loss and the effect in OCI.
- Differences arising in profit or loss
- 350,000
- Differences arising in OCI
- 150,000
- Rate before the change (%)
- 20 %
- Rate after the change (%)
- 28 %