8.4 The following information relates to Terril Co as at 31 December 2004:

Carrying value Tax base EUR EUR Non-current assets Property, plant and equipment 200,000 175,000 Receivables Trade receivables (*) 50,000 Interest receivable 1,000 Payables Fine 10,000 Interest payable 2,000

(*) The trade receivables balance in the accounts is made up of the following amounts:

EUR Trade receivables 55,000 Doubtful debt provision (5,000)

50,000 Further information:

1. The deferred tax balance as at 1 January 2004 was EUR 1,200.

2. Interest is taxed on a cash basis.

3. Provisions for doubtful debts are not deductible for tax purposes.

4. Fines are not tax deductible.

Calculate the deferred tax provision which is required at 31 December 2004 and the charge for income taxes to the income statement for 2004.