The American Club 2023/2024 Annual Report

PAGE 95

NOTES TO FINANCIAL STATEMENTS 30 JUNE 2024

22. INCOME TAX CREDIT/EXPENSE

2024

2023

$

$

Tax (credit) expense comprises: Current tax expense Over provision in prior years

-

102,394

(117,694) (117,694)

-

102,394

Under Section 11(1) of the Income Tax Act, Chapter 134, the Club’s revenue (excluding investment income, interest income and rental income) is exempted from tax if more than 50% of the Club’s gross takings are from its voting members. Investment income and interest income are taxable at the statutory rate of 17% (2023: 17%).

The total charge for the year can be reconciled to the accounting loss as follows:

2024

2023

$

$

Loss before tax

(1,829,949)

(2,005,021)

Income tax credit at statutory rate 17% (2023: 17%)

(311,091) 463,758 (17,425) (135,242) (117,694) (117,694)

(340,853)

Non-deductible items

460,672 (17,425)

Effect of revenue that is exempt from taxation Utilisation of deferred tax assets not recognised

- -

Overprovision in prior year

102,394

23. CAPITAL COMMITMENTS

2024

2023

$

$

Amounts approved and not contracted for Amounts approved and contracted for

2,477,876

3,222,293

319,873

10,030

THE AMERICAN CLUB SINGAPORE ANNUAL REPORT 2023 / 2024