Annual Report 2005

History

The following information was audited by the Auditing Board of the Savings Bank Auditing Association, by KPMG Austria GmbH and by Österreichische Wirtschaftsberatung GmbH.

(11) Taxes on income

11 of 61

Taxes on income
€ m	2005	2004
Current taxes	171	109
Deferred taxes	55	79
TAXES ON INCOME	226	188

€ m	2005	2004
Net income before taxes	1,301	859
Applicable tax rate*⁾	25%	25%
Income tax expense at the applicable tax rate	325	215
Tax effects
from previous years and changes in tax rates	–6	74
from foreign income	–42	–28
from tax-exempt income	–66	–50
from other non-deductible expenses	24	19
from the adjustment of the expectation of the future use of tax losses carried forward	–8	–62
from amortisation of goodwill	1	18
other tax effects	–3	3
REPORTED TAXES ON INCOME	226	188
Effective tax rate	17.4%	21.9%