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AFRICAN DAWN ANNUAL REPORT 14

Notes to the Financial Statements continued Group Company 2014 2013 2014 2013 R '000 R '000 R '000 R '000 17. Finance lease obligation Minimum lease payments due - within one year - 139 - - - in second to fifth year inclusive - 316 - - - 455 - - less: future finance charges - (62) - - Present value of minimum lease payments - 393 - - Non-current liabilities - 316 - - Current liabilities - 77 - - - 393 - - The finance lease obligations related to Elite Group Proprietary Limited which has been classified as liabilities held for sale. See note 13. It is group policy to lease certain motor vehicles and equipment under finance leases. The average lease term was 1-5 years and the average effective borrowing rate was 10% (2013: 10%). Interest rates are linked to prime at the contract date. All leases have fixed repayments and no arrangements have been entered into for contingent rent. The group's obligations under finance leases are secured by the lessor's charge over the leased assets. Refer note 3. 18. Current tax payable (receivable) Current tax payable (18,226) (18,709) (6,728) (6,728) Current tax receivable 95 95 - - (18,131) (18,614) (6,728) (6,728) Afdawn continues to work closely with SARS on all aspects relating to its tax position in terms of the agreed action plan with SARS. Documentation as set out in Section 200 of the Income Tax Act, which enables companies to settle their tax obligations with SARS, has been submitted and queries raised by SARS answered. Afdawn has vigorously explored and consulted with various independent tax experts to ensure that a beneficial outcome for Afdawn could be achieved. The SARS liability has been fully provided for in our accounts with regards to returns that have been assessed, disagreements were provided for to the extent of the most likely outcome. Where assessments have been completed successfully in the Group the correct asset or liability has been raised. Where assessments are still being finalised a conservative estimate of the correct assessment has been provided. 19. Trade and other payables Trade payables 832 1,838 792 644 VAT 3,716 5,392 3,712 3,769 Accrued leave pay 11 856 - 58 Accrued expense 1,311 993 1,000 275 Deposits received 328 257 - - 6,198 9,336 5,504 4,746 Trade and other payables are classified as liabilities and are measured at amortised cost. AFRICAN DAWN 5 9 ANNUAL REPORT 2014


AFRICAN DAWN ANNUAL REPORT 14
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