The following information relates to Lavant Limited, a chemical manufacturer, which commenced operations on 1 January 2018. 1. Plant purchases and sales were as follows: 2. The company traded profitably in 2018. In 2019 although the company reported a profit before tax of R30000, the 2019 yearend tax computation showed a tax loss of R70 000 to be carried forward to 2020 . 3. Depreciation is calculated at 10% per annum straight line whereas the South African Revenue Services allows Lavant Limited to claim a S12C allowance on its plant of 20% per annum. 4. The company's accounting profit was R950 000 for the year ending 31 December 2020 before depreciation and dividends received and before any other adjustments in respect of the above items. 5. The company provides for deferred tax on all temporary differences and tax losses. 6. Assume taxation was levied at the following rates: Assume that capital gains tax has always been in effect in South Africa at an inclusion rate of 60% of the capital gain. 7. There are no other sources of differences between accounting profit and tax profit other than those apparent from the information. 8. Dividends received and paid by the company for the last 3 years were as follows: An amount of dividend withholding tax of R7 500 was paid to SARS on 31 December 2020. You are required to: 1. Calculate the current tax expense of Lavant Limited for the year ended 31 December 2020 Start your tax computation with the profit before tax figure. 2. Calculate the deferred tax expense of Lavant Limited for the year ended 31 December 2020 by comparing the relevant carrying amounts and tax bases. 3. Draft the taxation notes (including accounting policies note) to the financial statements (Statement of profit or loss and other comprehensive income and statement of financial position) in compliance with IAS 12 Income Taxes