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12. Amortization and Impairment Loss on Property and Equipment:
Amortization and impairment loss on property and equipment included in cost of sales and SG&A is summarized as follows:
13 Weeks Ended 26 Weeks Ended -------------------------------------------------------- December 29, December 24, December 29, December 24, 2012 2011 2012 2011 --------------------------------------------------------Cost of sales $ 42 $ 50 $ 83 $ 96SG&A 1,152 835 1,923 1,709 -------------------------------------------------------- $ 1,194 $ 885 $ 2,006 $ 1,805 -------------------------------------------------------- --------------------------------------------------------
13. Income Taxes:
The Company's income tax expense is comprised as follows:
December 29, 2012 December 24, 2011 ----------------------------------------------------Current period income tax expense $ 1,862 $ 2,265Adjustment for prior years taxes 11 48 ----------------------------------------------------Current income tax expense $ 1,873 $ 2,313Deferred tax expense (40) (107) ----------------------------------------------------Income tax expense $ 1,833 $ 2,206 ---------------------------------------------------- ----------------------------------------------------
The estimated average annual effective rate was 27.0% during the 26 weeks ended December 29, 2012 compared with the 27.9% estimated rate for the 26 weeks ended December 24, 2011 and 27.6% for the fiscal year ended June 30, 2012. The difference between the rate for the 26 weeks ended December 29, 2012 and the rate for the 26 weeks ended December 24, 2011 and the fiscal year ended June 30, 2012 is mainly due to a reduction in the statutory tax rates as well as the effect of certain non-deductible expenses on estimated earnings.
The Company's effective income tax rate consists of the following:
26 Weeks Ended ---------------------------------------------------- December 29, 2012 December 24, 2011 ----------------------------------------------------Combined basic federal and provincial average statutory rate 26.4% 27.2%Non-deductible expenses 1.8% 0.6%Future federal and provincial rate changes - 0.4%Other (1.2%) (0.3%) ---------------------------------------------------- 27.0% 27.9% ---------------------------------------------------- ----------------------------------------------------
