1. Which taxes and what tax rates are applicable to PHM?
The following are the principal taxes and rates payable by the Russian subsidiaries of the Group:
- 24% corporate tax
- 6% gold royalty tax
- 38% payroll tax
- 1.5% property tax
- 18% VAT
Sales of gold are VAT zero rated.
2. Why does PHM report in $US?
As it is the functional and reporting currency of the Group and also as gold is priced worldwide in US$. Gold is priced in $US and most finance is paid in $US.
3. Which accounting systems is PHM required to report in? What is the difference between the Russian Accounting system and UK GAAP?
The Group is required to report under UK GAAP. The IFRS transition date for AIM companies is January 2007. The Group will produce its first set of IFRS accounts for the period ended 31 December 2007. The Russian accounting system is in the process of transformation; it is constantly moving towards IFRS however significant differences still remain. The areas where these differences are still considerable are: substance over form approach, matching principles and business combinations. Accounting of the following differs significantly in the Group's accounts:
- Deferred Taxation
- Provisioning
- Finance Leases
- Intangible Assets
- Business Combination and Joint Venture Accounting
4. What are the main constituents of the total cash costs at Pokrovskiy Rudnik?
The main constituents of Pokrovskiy Rudnik's total cash costs are labour, raw materials, energy, smelting and transportation, royalties and production taxes.
5. Is the Group involved in any hedging activity?
The Group does not do any hedging and benefits from increasing gold prices.
6. Where is the convertible bond issued by Peter Hambro Mining Plc traded?
The bonds have been admitted to trading on the Luxembourg Stock Exchange's EuroMTF Market.
The following are the principal taxes and rates payable by the Russian subsidiaries of the Group:
- 24% corporate tax
- 6% gold royalty tax
- 38% payroll tax
- 1.5% property tax
- 18% VAT
Sales of gold are VAT zero rated.
2. Why does PHM report in $US?
As it is the functional and reporting currency of the Group and also as gold is priced worldwide in US$. Gold is priced in $US and most finance is paid in $US.
3. Which accounting systems is PHM required to report in? What is the difference between the Russian Accounting system and UK GAAP?
The Group is required to report under UK GAAP. The IFRS transition date for AIM companies is January 2007. The Group will produce its first set of IFRS accounts for the period ended 31 December 2007. The Russian accounting system is in the process of transformation; it is constantly moving towards IFRS however significant differences still remain. The areas where these differences are still considerable are: substance over form approach, matching principles and business combinations. Accounting of the following differs significantly in the Group's accounts:
- Deferred Taxation
- Provisioning
- Finance Leases
- Intangible Assets
- Business Combination and Joint Venture Accounting
4. What are the main constituents of the total cash costs at Pokrovskiy Rudnik?
The main constituents of Pokrovskiy Rudnik's total cash costs are labour, raw materials, energy, smelting and transportation, royalties and production taxes.
5. Is the Group involved in any hedging activity?
The Group does not do any hedging and benefits from increasing gold prices.
6. Where is the convertible bond issued by Peter Hambro Mining Plc traded?
The bonds have been admitted to trading on the Luxembourg Stock Exchange's EuroMTF Market.
