Reigniting growth - Annual Report and Accounts 2024

Financial Statements

Strategic Report

Governance Report

Other Information

9. Taxation

The tax charge on profit for the year was as follows:

2024 £’000 6,221

2023 £’000 5,703

UK Corporation Tax at 25% (FY23: 20.5%)

514

Over provision in prior years

(834)

Total current tax Deferred tax credits

6,735

4,869 (1,189)

(1,788)

214

Under provision of deferred tax in prior years

410

Income tax expense

5,161

4,090

Taxation for other jurisdictions is calculated at the rates prevailing in the respective jurisdictions.

The tax on the Group’s profit before tax differs from the theoretical amount that would arise using the time apportioned tax rate applicable to profits of the consolidated entities in the UK as follows, split out between underlying and statutory profits:

Underlying profit adjustments £’000

Underlying profit £’000

Statutory profit £’000

Year ended 30 June 2024 Profit/(loss) before taxation

34,092

(22,474)

11,618

Profit/(loss) multiplied by the standard rate of tax in the UK of 25%

8,523

(5,619)

2,904

Tax effect of amounts that are not deductible/(taxable) in calculating taxable income: – Depreciation and amortisation

543

34

577

(6)

– – – 3

(6)

– Non-taxable income

(366)

(366)

– Overseas tax losses not available for UK tax purposes

(121)

(121)

– Lower tax rates in other jurisdictions in which the Group operates

316

319

– Disallowable expenses – Share-based payments

(1,676)

106

(1,570)

514

514

– Over provision in prior years

2,910

2,910 5,161

– Goodwill impairment

Income tax expense/(credit)

7,727

(2,566)

Effective tax rate

22.7%

n/a

44.4%

Brooks Macdonald Group plc Annual Report and Accounts 2024

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