Tax benefit for St George
WESTPAC Banking Corporation says $ 1.1 billion will be added to its first half statutory net profit through tax consolidation from its takeover of St George. The additional net profit, to be recorded in its result for the six months to March 31, will not be included in its cash profit result. The tax adjustment will also add about 40 basis points to Westpac’s capital ratios, with the impact to be spread over the next four years. Westpac has indicated beneficial impacts of the St George merger.