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Annual Report 2013
KPJ HEALTHCARE BERHAD
192
2.
Summary of signi cant accounting policies (continued)
2.23 Revenue (continued)
(c)
Tuition fees
Revenue from tuition fees are recognised over the period of instruction whereas non-refundable registration and enrolment
fees are recognised on a receipt basis.
(d)
Deferred management fees
Deferred management fees represent amounts owed to the group in connection with Resident occupancy at the retirement
village subject to long-term management agreements. Deferred management fees are calculated in accordance with
Resident contracts.
(e)
Dividend income
Dividend income is recognised when the Group’s right to receive payment is established.
(f)
Management fees
Management fees represent fees charged to subsidiaries for assisting in the management of the subsidiaries and these are
recognised upon performance of services.
(g)
Interest income
Interest income is recognised on an accrual basis using the effective interest method.
2.24 Income taxes
(a)
Current tax
Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities.
The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the reporting
date.
Current taxes are recognised in pro t or loss except to the extent that the tax relates to items recognised outside pro t or
loss, either in other comprehensive income or directly in equity.
(b)
Deferred tax
Deferred tax is provided using the liability method on temporary differences at the reporting date between the tax bases of
assets and liabilities and their carrying amounts for nancial reporting purposes.
Deferred tax liabilities are recognised for all temporary differences, except:
-
where the deferred tax liability arises from the initial recognition of goodwill or of an asset or liability in a transaction
that is not a business combination and, at the time of the transaction, affects neither the accounting pro t nor taxable
pro t or loss; and
-
in respect of taxable temporary differences associated with investments in subsidiaries and associates, where the
timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences
will not reverse in the foreseeable future.
Notes to the
Financial Statements
For the financial year ended 31 December 2013
(continued)