CHINA PETROLEUM & CHEMICAL CORP | CIK:0001123658 | 3

  • Filed: 4/27/2018
  • Entity registrant name: CHINA PETROLEUM & CHEMICAL CORP (CIK: 0001123658)
  • Generator: Merrill
  • SEC filing page: http://www.sec.gov/Archives/edgar/data/1123658/000110465918027339/0001104659-18-027339-index.htm
  • XBRL Instance: http://www.sec.gov/Archives/edgar/data/1123658/000110465918027339/snp-20171231.xml
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  • EDGAR Dashboard: https://edgardashboard.xbrlcloud.com/edgar-dashboard/?cik=0001123658
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  • ifrs-full:DescriptionOfAccountingPolicyForIncomeTaxExplanatory

    (aa)     Income tax

     

    Income tax comprises current and deferred tax. Current tax is calculated on taxable income by applying the applicable tax rates. Deferred tax is provided using the balance sheet liability method on all temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes only to the extent that it is probable that future taxable income will be available against which the assets can be utilized. Deferred tax is calculated on the basis of the enacted tax rates or substantially enacted tax rates that are expected to apply in the period when the asset is realized or the liability is settled. The effect on deferred tax of any changes in tax rates is charged or credited to the consolidated statement of income, except for the effect of a change in tax rate on the carrying amount of deferred tax assets and liabilities which were previously charged or credited to other comprehensive income or directly in equity.

     

    The tax value of losses expected to be available for utilization against future taxable income is set off against the deferred tax liability within the same legal tax unit and jurisdiction to the extent appropriate, and is not available for set off against the taxable profit of another legal tax unit. The carrying amount of a deferred tax asset is reviewed at each balance sheet date and is reduced to the extent that it is no longer probable that the related tax benefit will be realized.