Note 13

Tax

	2016	2015
Temporary negative and positive differences which are reversed or which may be reversed during the same period, have been offset and included in the accounts on a net basis. Deferred tax is calculated on the basis of the differences which exist between the accounting-related and tax-related values at the end of the accounting year. The entire taxation cost is related to Norway.


Specification of total tax cost
Result before tax	208	241
Permanent differences	0	0
Changes in temporary differences	8	-8
Income subject to tax	216	233
Tax payable at 25 per cent (27 per cent in 2015)	54	63
Change in deferred tax	-2	2
Total tax cost	52	65

Specification of temporary differences and computation of deferred tax
	2016	2015
Financial liabilities	-235	-439
Financial instruments	233	444
Net negative (-)/positive differences	-2	5
Deferred tax asset (-) or liability (25 per cent) as at 31 December	0	-1

Some financial instruments are measured in the financial statements at fair value, while financial instruments are taxed as they are realised.

Realisation of deferred tax benefit is based on future results liable to tax, based on empirical experience and prognoses, exceeding the tax benefit in question in the case of reversal of any existing, temporary differences. No temporary differences exist in relation to items recognised against comprehensive income or directly against equity. All deferred tax relates to items recognised in the result for the accounting year.

Reconciliation between tax cost and pre-tax profit
	2016	2015
25 per cent of pre-tax profit (27 per cent in 2015)	52	65
Other permanent differences 25 per cent (27 per cent)	0	0
Total tax cost	52	65