Consolidated Annual Accounts 2017

Atresmedia Corporación de Medios de Comunicación, S.A. and Subsidiaries Translation of consolidated financial statements originally issued in Spanish and prepared in accordance with the regulatory financial reporting framework applicable to the Group in Spain (see Notes 2 and 29). In the event of discrepancy, the Spanish-language version prevails. 2017 CONSOLIDATED FINANCIAL STATEMENTS 62 The differences between the estimate made at year-end and the tax return effectively filed gave rise to differences of EUR 1,268 thousand. The deferred tax expense relates to the tax effect of the deferred tax assets and liabilities under IFRSs (see Note 22.e). c) Reconciliation of accounting profit and taxable income Reconciliation of accounting profit and profit for income tax purposes for 2017 and 2016: Thousands of euros 2017 2016 Accounting profit after tax 142,108 129,113 Income tax 34,465 45,605 Permanent differences (18,121) (12,537) Temporary differences 5,164 15,965 Offset of prior years’ tax losses (31,475) (32,831) Taxable income 132,141 145,315 Tax rate 25.00% 25.00% Gross tax payable 33,035 36,329 Tax credits taken in the year (10,059) (10,463) Tax prepayments in the year (30,264) (25,028) Tax payable (refundable) (7,288) 838 The temporary differences include additions of EUR 27,777 thousand and reductions of EUR 22,613 thousand (see Note 22.e). Additions include deferred tax assets of EUR 20,920 thousand and deferred tax liabilities of EUR 6,857 thousand, while reductions include deferred tax assets of EUR 15,210 thousand, EUR 2,597 thousand in relation to the tax losses of EIGs in which the Group has an interest, and EUR 4,806 thousand of deferred tax liabilities.