ABN 61 058 454 569
ICON ENERGY LIMITED
2015 Annual Report
55
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2015
55
FOR THE YEAR ENDED 30 JUNE 2015
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(b)
Principles of Consolidation
(c)
Income Tax
Where controlled entities have entered or left the consolidated entity during the year, their operating results have
been included from the date control was obtained or until the date control ceased.
Current income tax expense/(benefit) charged or credited to the profit or loss is the tax payable/(receivable) on
taxable income calculated using applicable income tax rates enacted, or substantively enacted, as at the
reporting date. Current tax liabilities/(assets) are therefore measured at the amounts expected to be paid
to/(recovered from) the relevant taxation authority.
Deferred tax assets and liabilities are ascertained based on temporary differences arising between the tax bases
of assets and liabilities and their carrying amounts in the financial statements. Deferred tax assets also result
where amounts have been fully expensed but future tax deductions are available. No deferred income tax will be
recognised from the initial recognition of an asset or liability, excluding a business combination, where there is no
effect on accounting or taxable profit or loss.
All inter-company balances and transactions between entities in the consolidated entity, including any unrealised
profits or losses, have been eliminated on consolidation.
NOTE 1 - STATEMENT OF ACCOUNTING POLICIES (Continued)
A controlled entity is any entity controlled by Icon Energy Limited. Control exists where Icon Energy Limited is
exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those
returns through its power over the investee. A list of controlled entities is contained in Note 18 to the accounts. All
controlled entities have a June financial year end.
Deferred income tax expense/(benefit) reflects movements in deferred tax asset and deferred tax liability balances
during the period as well as unused tax losses.
Current and deferred income tax expense/(benefit) is charged or credited directly to equity instead of the profit or
loss when the tax relates to items that are credited or charged directly to equity.
Standards and Interpretations issued but not yet adopted
The income tax expense/(benefit) for the year comprises current income tax expense/(income) and deferred tax
expense/(income).
AASB 9 Financial Instruments
includes requirements for the classification and measurement of financial assets
resulting from the first part of Phase 1 of the project to replace
AASB 139 Financial Instruments: Recognition and
Measurement
. AASB 9 is applicable to annual reporting periods beginning on or after 1 January 2017. The entity
has not yet determined the potential effect of the standard.
AASB 15 Revenue from Contracts with Customers
establishes a single comprehensive model for entities to use
in accounting for revenue arising from contracts with customers. AASB 15 will supersede the current revenue
recognition guidance including
AASB 118 Revenue
,
AASB 111 Construction Contracts
and the related
Interpretations when it becomes effective. Effective for annual reporting periods beginning on or after 1 January
2017.
AASB 2014-3 Amendments to Australian Accounting Standards – Accounting for Acquisitions of Interests in Joint
Operations
. The amendments to AASB 11 provide guidance on how to account for the acquisition of a joint
operation that constitutes a business as defined in
AASB 3 Business Combinations
. The amendments to AASB
11 apply prospectively for annual periods beginning on or after 1 January 2016.
AASB 2014-4 Amendments to Australian Accounting Standards – Clarification of Acceptable Methods of
Depreciation and Amortisation
. The amendments to AASB 116 prohibit entities from using a revenue-based
depreciation method for items of property, plant and equipment. The amendments apply prospectively for annual
periods beginning on or after 1 January 2016.
AASB 2014-10 Amendments to Australian Accounting Standards – Sale or Contribution of Assets between an
Investor and its Associate or Joint Venture
. Effective for annual reporting periods beginning on or after 1 January
2016.
AASB 2015-1 Amendments to Australian Accounting Standards – Annual Improvements to Australian Accounting
Standards 2012-2014 Cycle
. Effective for annual reporting periods beginning on or after 1 January 2016.
AASB 2015-2 Amendments to Australian Accounting Standards – Disclosure Initiative: Amendments to AASB
101
. Effective for annual reporting periods beginning on or after 1 January 2016.
Certain new accounting standards and interpretations have been published that are not mandatory for 30 June
2015 reporting periods. They are available for early adoption at 30 June 2014, but have not been applied in
preparing this financial report. The consolidated entity's assessment of the impact of these new standards and
interpretations is set out below:
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
