TAXATION continued c. Corporate income tax expense - current

PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS June 30, 2004 and 2003, and April 30, 2003 Expressed in millions of Rupiah, unless otherwise stated 90

29. TAXATION continued c. Corporate income tax expense - current

The reconciliation between profit before estimated corporate income tax as shown in the consolidated statements of profit and loss and income tax computations and the related current income tax expense for Bank Mandiri and its Subsidiaries is as follows: Six-month Six-month Four-month Period ended Period ended Period ended June 30, 2004 June 30, 2003 April 30, 2003 Consolidated profit before corporate income tax expense and minority interests 4,453,228 3,146,723 1,896,917 Less: Profit before corporate income tax of Subsidiaries after elimination 24,407 9,657 2,494 Profit before corporate income tax expense and minority interests - Bank Mandiri only 4,428,821 3,137,066 1,894,423 Adddeduct permanent differences : Non-taxable incomenon-deductible expenses 538,670 47,766 51,947 Non-deductible loan write-offs 571,346 - - Non-taxable adjustment of provision for losses on earning assets other than loans - 78,094 33,957 Non-taxable adjustment of provision for estimated losses on commitments and contingencies - 77,067 102,083 Others 59,421 36,950 20,581 Adddeduct temporary differences: Allowable tax depreciation overunder financial statement depreciation 29,999 31,307 27,648 Financial statement provision for personnel expenses underover allowable tax provision 11,251 277,663 206,523 Financial statement provision for losses on earning assets other than loans overunder allowable tax provision 81,695 89,564 60,013 Financial statement provision for loan losses underover allowable tax provision 615,705 132,033 40,683 Financial statement provision for losses on commitments and contingencies over allowable tax provision 11,217 339,277 277,210 Financial statement provision for losses arising from legal cases overunder allowable tax provision 39,080 223,407 162,760 Gainslosses on increase in market value of securities and Government recapitalization bonds 62,998 1,063,310 765,680 Estimated taxable income 3,932,957 4,259,274 2,884,720 Estimated corporate income tax expense - current Bank Mandiri only 1,179,870 1,277,764 865,398 Subsidiaries 24,235 10,622 3,542 Estimated corporate income tax expense - current 1,204,105 1,288,386 868,940 PT BANK MANDIRI PERSERO TBK. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS June 30, 2004 and 2003, and April 30, 2003 Expressed in millions of Rupiah, unless otherwise stated 91

29. TAXATION continued c. Corporate income tax expense - current