NOTES TO THE COMPANY ANNUAL FINANCIAL STATEMENTS l NOTE 5

          2013
R’000		   2012
R’000		  
5. Deferred taxation              
  At the beginning of the year       2 208   2 427  
  (Charged)/credited to the statement of comprehensive income:              
  – Provisions       (7 677)   5  
  – Capital allowances       (49)   (49)  
  – Equity compensation benefit       70   291  
  – Other       (250)   (466)  
  At the end of the year       (5 698)   2 208  
  Deferred taxation comprises:              
  – Provisions       (7 791)   (114)  
  – Capital allowances       185   234  
  – Equity compensation benefit       3 354   3 284  
  – Other       (1 446)   (1 196)  
          (5 698)   2 208  
  The analysis of deferred tax assets and deferred tax liabilities is as follows:              
  Deferred tax assets              
  Deferred tax assets to be recovered after more than 12 months       251   —  
  Deferred tax assets to be recovered within 12 months       (5 949)   —  
          (5 698)   —  
  Deferred tax liabilities              
  Deferred tax liabilities to be recovered after more than 12 months       —   401  
  Deferred tax liabilities to be recovered within 12 months       —   1 807  
          —   2 208  
  Net deferred tax (asset)/liability       (5 698)   2 208  

Where deferred tax assets have been recognised, a formal process of assessment of the future profitability of the Company has been performed based on detailed budgets and cash flow forecasts. As a result, management believes that the current tax losses will be utilised within one to five years.

NOTES TO THE COMPANY ANNUAL FINANCIAL STATEMENTS l NOTE 5