Brisbane Markets Limited (BML) advise that the Financial Report for the year ended 30 June 2020 was lodged with ASIC on 7 September 2020, and a copy of the report is available here.
Shareholders should note that the financial report for the year ended 30 June 2020 discloses that the company has applied a tax rate of 27.5% for the year ended 30 June 2020 (refer to Note 14).
This tax rate was adopted on the basis that Perth Markets Group Limited (PMGL) and Brisbane Markets Limited are not connected entities for income tax purposes. This matter was the subject of an application for a private tax ruling made by PMGL for the year ended 30 June 2020. PMGL had been successful in obtaining the private ruling in 2019 however, BML has now been advised that PMGL has not been successful in obtaining this private ruling for 2020, and that the prospects of a successful objection to the ATO are low. Therefore, BML will make the relevant adjustments for the change of the income tax rate to 30%, and this will be reflected in the Financial Report for the half year ended 31 December 2020.
Accordingly, shareholders should be aware that PMGL and BML will incur an additional charge to income tax expense for the half year ended 31 December 2020, as follows:
| Income Tax Expenses Adjustment relating to the tax rate change $ million | BML share of Adjustment relating to the tax rate change $ million | |
| Perth Markets Group Limited | 2.68 | 1.12 |
| Brisbane Markets Limited | 3.16 | 3.16 |
| Total income tax adjustment for Brisbane Markets Limited | 4.28 | |
This matter will not have a significant impact on cash flow of the company, with the majority of the adjustment relating to the deferred tax liability balance as disclosed in Note 14 of the Financial Report.
This adjustment to be made for the half year ended 31 December 2020 equates to 7.85 cents per share. The dividend to be paid in October 2020 will be franked at 30%, as will future franked dividends paid.
Andrew Young
CEO
Shareholders interested in buying or selling shares in BML, or who need any information in this regard, may register their interest by sending us an email or by completing the online enquiry form here.
For more information regarding this notice, please contact BML on (07) 3915 4200.