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(f) Provisions
Consolidated
2017
2016
Current
$’000
Non-
current
$’000
Total
$’000
Current
$’000
Non-
current
$’000
Total
$’000
Employee benefits
40,187 4,393 44,580
39,826 3,888 43,714
Restructuring costs
-
-
-
550
-
550
Incident provision
15,750
- 15,750
8,115
-
8,115
55,937 4,393 60,330
48,491 3,888 52,379
(i) Information about individual provisions and significant estimates
The incident provision recognises the Group’s estimate of the liability with respect to costs
associated with damage caused by incidents such as derailments, which occurred whilst
using the Group’s rail infrastructure.
(ii) Movements in provisions
Movements in each class of provision during the financial year are set out below:
2017
Employee
benefits
$’000
Re-structure
obligation
$’000
Incident
$’000
Total
$’000
Carrying amount at 1 July
43,714
550
8,115
52,379
Additional provisions recognised
23,463
-
18,891
42,354
Amounts used during the year
(22,597)
(550)
(11,256)
(34,403)
Carrying amount at 30 June
44,580
-
15,750
60,330
(ii) Deferred tax liabilities (continued)
NOTE 7
NON-FINANCIAL ASSETS AND LIABILITIES (CONTINUED)
Tax consolidation
Australian Rail Track Corporation Ltd and its wholly owned Australian controlled entities consolidated
for income tax purposes as of 1 July 2003.
The head entity, Australian Rail Track Corporation Ltd and the controlled entities in the income tax
consolidated group continue to account for their own current and deferred tax amounts. The Group
has applied the stand alone taxpayer approach, consistent with the requirements of Interpretation
1052, in determining the appropriate amount of current taxes and deferred taxes to allocate to
members of the income tax consolidated group. In addition to its own current and deferred tax
amounts, Australian Rail Track Corporation Ltd also recognises the current tax liabilities (or assets)
and the DTAs arising from unused tax losses and unused tax credits assumed from controlled entities
in the tax consolidated group.
Assets or liabilities arising under tax funding agreements with the tax consolidated entities are
recognised as amounts receivable from or payable to other entities in the Group.
Any difference between the amounts assumed and amounts receivable or payable under the tax
funding agreement are recognised as a contribution to (or distribution from) wholly owned tax
consolidated entities.
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