Ann: POSCO Final Settlement Funds Received, page-66

First 66 Last

Share
Profile

Follow
SpaceWalker

375 Posts.

150

01/03/19

23:15

Post #: 37627613
Share

Originally posted by ljcamp ↑

Reduce assessable income.

30% is simply the company tax rate.

Galaxy have crystallised a huge capital gain from the sale of the northern tenements (remember they acquired the lease for next to no cost base) and as such are required to pay tax on this at the applicable rate. SO effectively the more revenue galaxy make the higher their taxable income. Galaxy need to delay revenue receipts to a more favourable period or use deductions/offsets to reduce assessable income.

YoP expenses will assist in the reduction. Capex at SDV will further assist. This is why I can guarantee a JV deal will be done very soon and construction will start before the end of the month. Galaxy will look to bring forward as much of the plant costs as possible to offset the tax payable.

Galaxy are cashed up and have a plethora of options. Colinchi seems to think that shipments from MC are make or break, he should focus his attention on closing out his position before its too late.

My background is financial planning, however perhaps an accountant can assist?

Expand

Argentina operations are managed by a completely separate wholly owned subsidiary. The SDV developmental costs will be capitalized when the project goes into commercial production and then depreciated over the life of the project. Galaxy cannot avoid paying the applicable income tax on the sale of the tenements in SDV.

Last edited by SpaceWalker: 01/03/19

GXY Price at posting: $2.17 Sentiment: Buy Disclosure: Held
5 Upvote

0 Great analysis

Reply

Top Stories

SWP

Swoop lobs $18M offer at microcap telecom Vonex – in which it holds 19.9%

Week 42 Wrap: HotCopper's top picks; new ASX 200 record; world yawns at war

What's causing the cost-of-living crisis, and how to navigate it

TLG

Talga Group wins key permit for flagship graphite mine in Sweden

MTH

Mithril's drilling in Mexico picks up silver at 997g/t, gold at 28g/t

SNX

Sierra Nevada raises $2M for silver exploration at Blackhawk

IRX

InhaleRX snags $38.5M in funding from VC biotech funder Clendon

MKT

The ASX can overlook its Telecomm small-caps. Here’s one diversified brand with an international footprint

NVU

Nanoveu surges 10% after benchmark testing for new AI chip begins

M4M

Macro, Norden set up transport solutions initiative for West Pilbara