PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2014 AND 2013
Expressed in millions of Rupiah, unless otherwise stated
Appendix 5105 33. TAXATION continued
d. Tax Expense - Current continued
The calculation of income tax for the year ended 31 December 2014 is a preliminary estimate made for accounting purposes and are subject to change at the time of the Bank submit its
annual tax return.
Tax calculation for the year ended 31 December 2013 in accordance with the income tax SPT Bank Mandiri.
The tax on Bank Mandiri and Subsidiaries Group’s profit before tax differs from the theoretical amount that would arise using the weighted average tax rate applicable to profits on the
consolidated entities as follows:
2014 2013
Consolidated income before tax expense and minority interest 26,008,015
24,061,837 Tax calculated at applicable tax rates:
5,403,600 5,186,425
Tax effect of: Bank Mandiri
- Income not subject to tax and final tax
171,684 150,620
- Expense not deductible for tax purposes
91,987 274,824
79,697 124,204
Subsidiaries 29,329
78,726 Total tax effect
50,368 45,478
Income tax expense 5,353,232
5,231,903
Under the taxation laws of Indonesia, Bank Mandiri and Subsidiaries submit the Annual Corporate Income Tax Returns to the tax office on the basis of self assessment. The Directorate
General of Taxation may assess or amend taxes within 5 five years from time when the tax becomes due.
Starting from 2009, Bank Mandiri has recognised written-off loans as deduction of gross profit by fullfiling the three requirements stipulated in UU No. 36 Year 2008 and Regulation of the Minister
of Finance No. 105PMK.032009 dated 10 June 2009, which was amended by Regulation of the Minister of Finance No. 57PMK.032010 dated 9 March 2010.
Based on UU No. 36 Year 2008 regarding Income Tax, Government Regulation No. 81 Year 2007 dated 28 December 2007 which is subsequently replaced by Government Regulation GR
No. 77 Year 2013 dated 21 November 2013 regarding Reduction of Income Tax Rate for Resident Corporate Tax Payers and Regulation of the Minister of Finance No. 238PMK.032008
dated 30 December 2008 regarding Procedures for Implementing and Supervising the Granting of Reduction of Income Tax Rate for Resident Corporate Taxpayers, a public listed company can
obtain a reduction of income tax rate by 5 lower from the highest income tax rate by fulfilling several requirements at least 40 of the total paid-up shares are listed and traded in the
Indonesia Stock Exchange and must be recorded in depository and settlement institutional, the shares are owned by at least 300 parties and each party can only own less than 5 of the total
paid up shares. The above requirements must be fulfilled by the taxpayer at the minimum 183 one hundred and eighty three calender days in a period of 1 one fiscal year.
Tax payer should include the certificate from Securities Administration Agency in the annual Corporate Income Tax return by attaching form X.H.1-6 as regulated in Bapepam-LK Regulation
No X.H.1 for each respective fiscal year.
PT BANK MANDIRI PERSERO Tbk. AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
31 DECEMBER 2014 AND 2013
Expressed in millions of Rupiah, unless otherwise stated
Appendix 5106 33. TAXATION continued
d. Tax Expense - Current continued
Based on Certificate No. DEI2015-0231 dated 6 January 2015 regarding Monthly Stock Ownerships of Publicly Listed Companies Report and the Recapitulation form no X.H. 1-2 dated
2 January 2015 from PT Datindo Entrycom Securities Administration Agency to Bank Mandiri, it was stated that the Bank has fullfilled the requirements to obtain the income tax rate reduction to
become 20 based on GR No. 77 year 2013. In accordance with Minister of Finance Regulation No. 238PMK.032008, the Financial Services Authority previously “Bapepam-LK” will then later
submit the information regarding the fulfillment by the Bank to the Tax office. Therefore the Bank’s corporate income tax for the year ended 31 December 2014 are calculated using the tax
rate of 20.
Based on Certificate No.DEI2014-0111 dated 3 January 2014 regarding Monthly Stock Ownership of Publicly Listed Companies Report and the Recapitulation Form No.X.H.I-2 from
PT Datindo Entrycom Securities Administration Agency to Bank Mandiri, it was stated that the Bank has fullfilled the requirements to obtain the income tax rate reduction to become 20. Until
now, the effective date of GR No.77 Year 2013 is still in discussion which will be clarified through revision of GR No.77 year 2013. However Management believes that Bank Mandiri has met all
requirements to obtain income tax reduction for 2013 fiscal year. Therefore, the Banks corporate income tax for the year ended 31 December 2013 are calculated using the tax rate of 20.
e. Deferred tax assets - net
Deferred tax arises from temporary differences between book value based on commercial and tax calculation are as follows:
2014
Beginning balance
Credited charged to
consolidated statement of
comprehensive income
Charged to equity
Ending balance
Bank Mandiri Deferred tax assets:
Loans write-off until 2008 1,486,003
154,465 -
1,331,538 Provision for post-employment benefit expense, provision
for bonuses, leave and holiday THR entitlements 864,471
99,394 -
963,865 Allowance for impairment loan losses
919,733 50,726
- 869,007
Allowance for impairment losses on financial assets other than loans
379,792 30,388
- 410,180
Unrealised losses on increasedecrease in fair value of marketable securities and
Government Bonds available for sale 347,528
- 207,712
139,816 Allowance for estimated losses arising from legal cases
125,778 24,842
- 100,936
Estimated losses on commitments and contingencies 39,562
532 -
39,030 Allowance for possible losses on abandoned properties
30,029 210
- 29,819
Allowance for possible losses on repossessed assets 1,994
- -
1,994 Accumulated losses arising from difference in
net realisable value of repossessed assets 1,969
- -
1,969 Unrealised gainlosses on increasedecrease in
fair value of marketable securities and Government Bonds fair value through profit or loss
108 1,393
- 1,501
Accumulated losses arising from difference in net realisable value of abandoned properties
189 -
- 189
Deferred tax assets 4,197,156
99,600 207,712
3,889,844 Deferred tax liabilities:
Unrealised gain on BOT transactions 57,709
37,441 -
20,268 Net book value of fixed assets
45,681 20,571
- 66,252
Deferred tax assets - Bank Mandiri only 4,093,766
82,730 207,712
3,803,324
Net deferred tax assets - Subsidiaries
228,732 385,796
Total consolidated deferred tax assets - net 4,322,498
4,189,120
