|
 |
|
| Finnish companies |
|
574.2 |
|
780.5 |
|
796.5 |
|
| Swedish companies |
|
299.1 |
|
989.7 |
|
541.2 |
|
| Other companies |
|
269.4 |
|
328.8 |
|
-114.7 |
|
| Total |
|
1 142.7 |
|
2 099.0 |
|
1 223.0 |
|
|
|
|
|
| Current Tax Expense |
|
|
|
|
|
|
|
| Finnish companies |
|
141.0 |
|
194.5 |
|
176.8 |
|
| Swedish companies |
|
79.4 |
|
235.8 |
|
159.8 |
|
| Other companies |
|
73.8 |
|
243.2 |
|
182.2 |
|
| Change in Deferred Taxes |
|
|
|
|
|
|
|
| Finnish companies |
|
26.1 |
|
30.5 |
|
67.0 |
|
| Swedish companies |
|
-0.4 |
|
11.4 |
|
-20.6 |
|
| Other companies |
|
69.5 |
|
-72.1 |
|
-288.6 |
|
| Associated Company Taxes |
|
2.4 |
|
7.0 |
|
23.0 |
|
| Total |
|
391.8 |
|
650.3 |
|
299.6 |
|
|
|
|
|
| Profit before Tax and Minority Interests |
|
1 142.7 |
|
2 099.0 |
|
1 223.0 |
|
| |
|
|
|
|
|
|
|
| Tax at domestic rates applicable to profits in the country concerned |
|
377.1 |
|
624.2 |
|
352.0 |
|
| Tax effect of non-deductible expenses and tax-exempt income |
|
18.2 |
|
38.6 |
|
57.9 |
|
| Tax effect of losses where no deferred tax benefit is recognised |
|
-15.3 |
|
-1.3 |
|
-14.9 |
|
| Change in legal status, Germany |
|
- |
|
- |
|
-86.6 |
|
| Other items |
|
11.8 |
|
-11.2 |
|
-8.8 |
|
| Income Taxes in the Consolidated Income Statement |
|
391.8 |
|
650.3 |
|
299.6 |
|
| |
|
|
|
|
|
|
|
| Effective Tax Rate |
|
34.3% |
|
31.0% |
|
24.5% |
|
|
An increase in the tax base of German assets following a change in the legal status of former Feldmühle subsidiaries resulted in a tax credit of EUR 86.6 million for the year, thereby lowering the Group effective tax rate to 24.5% from 31.6%.
The Group has recognised a deferred tax asset for its net operating loss carry-forwards and established a valuation allowance against this amount based on an analysis of the probability for set-off against future profits in the relevant tax jurisdictions. At 31 December 2001 Stora Enso had losses carried forward, mainly attributable to foreign subsidiaries, of EUR 890 (EUR 674) million of which some EUR 362 million had no expiry date, EUR 74 million expire during the years 2002 - 2006 and the remainder expire thereafter. Tax loss carry-forwards are netted against deferred tax liabilities within each jointly taxed group of companies and are only shown separately as an asset to the extent that they exceed such liabilities.
No deferred tax liability has been recognised for the undistributed earnings of Finnish subsidiaries as, in most cases, such earnings may be transferred to the Parent Company without any tax consequences. The Group does not provide for deferred taxes on undistributed earnings of non-Finnish subsidiaries to the extent that such earnings are intended to be permanently reinvested in those operations.
|
