Ann: Section 258F Corporations Act Capital Adjust, page-3

re: Ann: Section 258F Corporations Act Capita... Sorry I don't think your friend is correct.

Accumulated lossess from an accounting point of view does not resemble accumulated losses from a taxation point of view.

Check out note 14 of the annual report. Coffey only recognise $625k as a deferred tax asset relating to tax lossess. No where near $30m. This is because you don't get a tax deduction for goodwill impairment which makes up the majority of the accumulated accounting lossess.

Per note 19, Coffey have $9m of franking credits from tax paid which can be attached to future dividends. This will increase as we pay more tax.

Lets be clear. Offsetting share capital with accumulated losses is just an accounting journal entry.