Income taxes are fully incurred in the Netherlands and are recognised in the statement of profit or loss as follows:
|
x € 1 million |
2025 |
2024 |
||
|
Current financial year |
-48.0 |
-24.8 |
||
|
Prior-year adjustment |
0.2 |
- |
||
|
Current tax income (current tax expense) |
-47.8 |
-24.8 |
||
|
Relating to temporary differences |
6.4 |
6.7 |
||
|
Prior financial years |
0.1 |
-0.1 |
||
|
Relating to tax loss carryforwards |
-4.4 |
-8.8 |
||
|
Effect of recognising previously unrecognised losses |
0.3 |
- |
||
|
Deferred tax income (deferred tax expense) |
2.4 |
-2.2 |
||
|
Total tax expense in the statement of profit or loss |
-45.4 |
-27.0 |
||
The effective tax rate is 25.9% (2024: 23.1%) and is determined as follows:
|
x € 1 million |
2025 |
2024 |
||
|
% |
€ |
% |
€ |
|
|
Profit before tax |
175.6 |
117.0 |
||
|
Based on local tax rate |
25.8% |
-45.3 |
25.8% |
-30.2 |
|
Non-deductible expenses |
1.7% |
-2.9 |
0.9% |
-1.0 |
|
Tax exempt results of participating interests |
-1.3% |
2.2 |
-3.7% |
4.3 |
|
Unrecognised tax losses and deferred tax asset |
0.0% |
- |
0.2% |
-0.2 |
|
Prior-year adjustment |
-0.1% |
0.2 |
0.1% |
-0.1 |
|
Effect of recognising previously unrecognised losses |
-0.2% |
0.3 |
0,0% |
- |
|
Effect of miscellaneous items |
-0.1% |
0.1 |
-0.2% |
0.2 |
|
Overall tax burden |
25.9% |
-45.4 |
23.1% |
-27.0 |
The main difference between the effective tax rate and the domestic Dutch rate relates to the effect of exempt results on participating interests. The other differences relate to non-deductible transaction costs in respect of the share transactions including Hegeman (2024: Van Gisbergen), general limitations on the deduction of costs, unrecognised losses for the current financial year and the investment allowance.
The Group falls within the scope of the OECD Pillar Two regulations. These regulations came into force on 1 January 2024 in the Netherlands, Belgium and Germany, where the Group has legal entities. According to the legislation in these countries, the Group is obliged to pay an additional tax for the difference between the GloBE effective tax rate for each jurisdiction and the minimum rate of 15%. The Group’s effective tax rate is higher than 15% in all jurisdictions, or an exemption applies, so that no additional tax needs to be paid. The Group has applied the mandatory exemption not to recognise deferred taxes relating to Pillar Two income taxes. The Group recognises pillar two income taxes in the reporting period in which they are payable or recoverable.