11. Income Tax
in thousands of EUR | 2017 | 2016 |
---|---|---|
Current income tax | 120,606 | 111,307 |
Deferred income tax | - 19,551 | -15,532 |
Charge in Income Statement | 101,055 | 95,775 |
The reconciliation between the computed weighted average rate of income tax expense, which is generally applicable to GrandVision companies, and the actual rate of taxation is as follows:
in thousands of EUR | 2017 | % | 2016 | % |
---|---|---|---|---|
Result before tax | 350,022 | 100.0% | 347,728 | 100.0% |
Computed weighted average tax rate | 96,715 | 27.6% | 94,639 | 27.2% |
(Exempt income)/expenses not deductible for tax purposes | - 412 | -0.1% | 6,845 | 2.0% |
Incentive tax credits | - 9,089 | -2.6% | -8,911 | -2.6% |
Effect of (de)recognition of tax losses | 23,651 | 6.8% | 9,152 | 2.6% |
Changes in tax rate | - 5,754 | -1.6% | -7,122 | -2.0% |
(Over)/Under provided in prior years | - 4,056 | -1.2% | 1,172 | 0.3% |
Tax charge | 101,055 | 28.9% | 95,775 | 27.5% |
The weighted average applicable tax rate amounts to 27.6% (2016: 27.2%). The effective tax rate for the Group is 28.9% (2016: 27.5%).
The changes in tax rate in 2017 relate mainly to France, the United Kingdom and Colombia. The changes in tax rate in 2016 were mainly in France.