| TAXATION |
7. TAXATION Taxes on income in the interim periods are accrued using the tax rate that would be applicable to expected total annual earnings. | | | | | | | | | | | Three-month period ended | | Nine-month period ended | | | 03/31/2025 | | 03/31/2024 | | 03/31/2025 | | 03/31/2024 | Current tax expense | | 7,949 | | (3,171,273) | | (4,855,387) | | (7,016,611) | Deferred tax | | 3,998,105 | | 4,127,105 | | 10,326,942 | | (789,984) | | | 4,006,054 | | 955,832 | | 5,471,555 | | (7,806,595) |
| | | | | | | 03/31/2025 | | 03/31/2024 | Beginning of the period deferred tax | | (25,296,931) | | (28,472,383) | Charge for the period | | 10,326,942 | | (789,984) | Conversion difference | | (1,546,151) | | (468,228) | Total net deferred tax | | (16,516,140) | | (29,730,595) |
The tax on the Group’s profit before tax differs from the theoretical amount that would arise using the weighted average tax rate applicable to profits of the consolidated entities as follow: | | | | | | | | | | | Three-month period ended | | Nine-month period ended | | | 03/31/2025 | | 03/31/2024 | | 03/31/2025 | | 03/31/2024 | Earning before income tax-rate | | (5,597,118) | | 8,821,477 | | (12,655,431) | | 16,143,941 | Income tax expense by applying tax rate in force in the respective countries | | 3,328,864 | | 1,313,433 | | 5,711,207 | | (4,121,315) | Share of profit or loss of subsidiaries, joint ventures and associates | | (323,076) | | 284,085 | | (338,839) | | 1,503,115 | Stock options charge | | (62,218) | | (768,706) | | (196,064) | | (2,257,743) | Non-deductible expenses | | (625,447) | | (280,942) | | (1,567,793) | | (397,162) | Tax inflation adjustment | | 1,258,094 | | 1,262,484 | | 2,758,917 | | 8,722,532 | Result of inflation effect on monetary items and other finance results | | 429,837 | | (255,563) | | (895,873) | | (11,256,022) | Others | | — | | (598,959) | | — | | — | Income tax expenses | | 4,006,054 | | 955,832 | | 5,471,555 | | (7,806,595) |
The income tax expense was calculated by applying the tax rate in force in the respective countries, as follows. | | | | | | | | | | | | | | | Nine-month period ended | | | March 31, 2025 | | March 31, 2024 | | | | | Weight average | | | | | | Weight average | | | | | Earning before | | applicable tax | | | | Earning before | | applicable tax | | | Tax jurisdiction | | income tax-rate | | rate | | Income tax | | income tax-rate | | rate | | Income tax | Low or null taxation jurisdictions | | 13,000,792 | | 0.0 | % | — | | 9,509,610 | | 0.0 | % | — | Profit-making entities | | 7,503,296 | | 36.3 | % | (2,723,832) | | 31,083,400 | | 34.0 | % | (10,583,572) | Loss-making entities | | (33,159,519) | | 25.4 | % | 8,435,039 | | (24,449,069) | | 26.4 | % | 6,462,257 | | | (12,655,431) | | | | 5,711,207 | | 16,143,941 | | | | (4,121,315) |
| | | | | | | | | | | | | | | Three-month period ended | | | March 31, 2025 | | March 31, 2024 | | | | | Weight average | | | | | | Weight average | | | | | Earning before | | applicable tax | | | | Earning before | | applicable tax | | | Tax jurisdiction | | income tax-rate | | rate | | Income tax | | income tax-rate | | rate | | Income tax | Low or null taxation jurisdictions | | 6,305,436 | | 0.0 | % | — | | 14,565,728 | | 0.0 | % | — | Profit-making entities | | (2,880,223) | | 31.7 | % | 913,894 | | 4,270,143 | | 36.9 | % | (1,575,778) | Loss-making entities | | (9,022,331) | | 26.8 | % | 2,414,970 | | (10,014,394) | | 28.9 | % | 2,889,211 | | | (5,597,118) | | | | 3,328,864 | | 8,821,477 | | | | 1,313,433 |
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