Notes to the annual financial statements

Pick n Pay Stores Limited

		GROUP		COMPANY
		2011 Rm	2010* Rm	2011 Rm	2010 Rm
5.	Tax
5.1	Tax recognised in statement of comprehensive income
	South African normal tax
	– current year	359.5	440.5	0.1	0.1
	– prior year overprovision	(1.4)	(1.7)
	Deferred tax (note 14)
	– current year	10.4	10.2
	Secondary tax on companies
	– current year	79.3	82.9
	Total tax charge	447.8	531.9	0.1	0.1
5.2	Tax recognised directly in equity
	Tax effect of share incentive transactions recorded directly in equity	(43.1)	(15.1)
	Tax effect of forward exchange contract realised directly in equity	(2.3)	—
	Total recognised directly in equity	(45.4)	(15.1)	—	—
		%	%	%	%
5.3	Statutory tax rate reconciliation
	Statutory tax rate	28.0	28.0	28.0	28.0
	Exempt income	(1.6)	(3.8)	(28.0)	(28.0)
	Secondary tax on companies	5.8	4.5
	Non-deductible share options expense	1.5	1.0
	Other non-deductible expenditure	1.0	0.8
	Net prior year under provisions	0.2	1.1
	Other	(1.9)	(2.2)
	Effective tax rate	33.0	29.4	—	—
		Rm	Rm	Rm	Rm
5.4	Tax paid comprises:
	Owing to/(due from) – 1 March	230.5	181.4	—	(1.9)
	Movement through statement of comprehensive income
	Current tax charge – continuing operations	358.1	438.8	0.1	0.1
	Current tax charge – discontinued operations (note 18.2)	—	1.5
	Secondary tax on companies	79.3	82.9
	Movement through equity	(45.4)	(15.1)
	Owing – 28 February	(96.2)	(230.5)	—	—
	Total tax paid/(received)	526.3	459.0	0.1	(1.8)
	Comprising:
	Continuing operations	526.3	457.5	0.1	(1.8)
	Discontinued operations	—	1.5	—	—

	*Restated – refer note 18.1.