ar2013

Exchange Fund – Notes to the Financial Statements (continued)
(Amounts expressed in millions of Hong Kong dollars, unless otherwise stated.)
5 INCOME TAX
(a)
Income tax charged in the income and expenditure account
Group
Fund
2013 2012 2013 2012
Current tax
Provision for the year
– Hong Kong 84 98 – –
– Taxation outside Hong Kong 9 5 – –
Deferred tax
Charge/(credit) for current year 24 (100) – –
117 3 – –
No provision for Hong Kong profits tax has been made for the Fund as it is an integral part of the government.
The provision for Hong Kong profits tax relates to the tax liabilities of the Fund’s subsidiaries. For 2013, it is
calculated at 16.5% (2012: 16.5%) of the estimated assessable profits for the year. Tax for overseas subsidiaries
is charged at the appropriate current rates of taxation ruling in the relevant countries.
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ANNUAL REPORT 2013 • HONG KONG MONETARY AUTHORITY