Home' Trinidad and Tobago Guardian : June 29th 2017 Contents National Infrastructure Development Company Limited
a) Deferred tax (asset) / liability
Deferred tax liability of $754,400 arises from the tax written down value of assets and their
accounting book values as at 30 September 2014. The current rate of corporation tax is 25%.
Written down value per accounting values
Tax value of plant and machinery
Deferred tax (asset) / liability at 25%
b) Taxation credit/(charge)
Total tax expense
The effective tax rate differs from the statutory tax rates for the following reasons:
Profit before tax
Corporation taxes charge calculated at statutory rates (14,527)
Business and green fund levies
Lost benefit from non-taxable deductions
The current rate of corporation tax is 25%, (2013 25%). The Company is entitled to set-off its
brought forward tax losses against taxable profits. All tax losses have been utilised in prior years.
c) Tax refundable
Business levy refundable
Green fund levy refundable
Corporation tax refundable
16. Deferred capital grant shortfall
In 2009, the Company obtained a loan to acquire four (4) sea vessels. In accordance with IAS 20
(Accounting for Government Grants and Disclosure of Government Assistance) the loan proceeds
were accounted for as Capital Grant receipts to be matched against the cost of the assets in the form
of depreciation and the cost of acquiring the assets in the form of loan interest over the estimated
useful life of the assets (vessels).
The amount of $33,090,426 represents the total amount to date by which depreciation charges and loan
interest costs are in excess of the total capital receipts accounted for as at 30 September 2014 regarding
capital acquisition in accordance with Accounting for Government Grants and Disclosure of Government
Assistance. The amount will be fully consumed over the remaining useful life of the assets.
17. Deferred Income
This represents income deferred to be recognised as income in profit or loss within the next financial
Water Taxi Service Agreement
18. Deferred government capital grants water taxi
This account balance represents total claims to the Ministry to date on capital items acquired for the
Water Taxi service.
19. Related party transactions
The Company is wholly owned by the Government of the Republic of Trinidad and Tobago.
The following table provides the total amount of material transactions which have been entered into
with related parties for the years ended 30 September 2014 and 2013:
a) Government of The Republic of Trinidad and Tobago
Management fees earned
Financing for projects
There are no other material transactions with any other government agency.
b) Compensation of key management personnel
Key management personnel are those persons having authority and responsibility for planning,
directing and controlling the activities of the Company.
Short term benefits
20. Commitments and contingencies
a) Capital commitments
There were no capital commitments relating to property and equipment at the end of the year.
b) Other commitments
In carrying out its activities as stated in Note 1, the Company has entered into several contracts with
various contractors for which commitments existed at the year end. These contractual commitments
amounted to $3,616.92 million at 30 September 2014 (2013:$4,169.70 million).
At the end of its financial year the Company was engaged in several legal proceedings arising from
the normal course of business. No provisions have been made for 2014 (2013: nil). As a matter of
disclosure, the following legal matters are reported:
There is a claim for unfair dismissal by a former individual who provided services to NIDCO. The
Registration, Recognition and Certification Board was not satisfied that this individual was a person
falling within Section 2(3) (e) of the Industrial Relations Act. The hearing for this matter is set for
29 June 2016. The individual is asking for the sum of $1,342,362.00 exclusive of interest.
Termination of Employment
With respect to a pending matter for a former employee, the Judge held that the claimant was
wrongfully dismissed and judgement was therefore held in his favour. The amount of $292,021.84
was paid in full settlement on December 11, 2014.
WSP International Sweden AB
NIDCO entered into a contract with WSP International Sweden AB for Programme Management
Consultancy Services for the Trinidad Rapid Rail Transportation Project. Clause 6.7(f) of the contract
required NIDCO to pay the consultant within 45 calendar days of the receipt of the invoices with
supporting documents. Failure to make such payments within the contracted time provided for
interest to be paid by NIDCO. NIDCO failed to make a payment due. As a result, WSP filed an
action with the High Court to recover payment.
Monies were owed to WSP for a specific invoice based on the fact that the amount certified was
less than the amount claimed.
WSP was willing to accept the sum of TT$ 812,035.63 and US$ 309,183.67 as full and final set-
tlement and NIDCO has since settled.
Lutchmeesingh's Transport Contractors Ltd.
As a matter of disclosure, there is an ongoing matter with Lutchmeesingh's Transport Contractors
Limited with respect to a declaration by same that the Invitation to Tender (ITT) constitutes a binding
contractual document between the Claimant and the Defendant. The claimant is seeking damages
for breach of contract, interest on all damages recovered at such rate and for such period as the
Court shall think fit, costs and further and/or other relief as the Court may deem just.
21.Lease commitments -- NIDCO
Operating lease rental expense for motor vehicles, copiers, premises and services totalled
$11,138,827 for the year ended 30 September 2014 (2013 - $8,445,427). Future minimum rent-
als payable under non-cancellable leases are as follows:
Not later than one year
Later than one year, not later than five years
22. General and administrative expenses-NIDCO 2014
Legal, professional and consultancy fees
23. Other expenses-NIDCO
Repairs & maintenance
Print reproduction and stationery
Office and other expenses
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