Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Income before income taxes consisted of the following:



	Years ended December 31,
In millions	2018		2017			2016
U.K.	$	26.2	$	(3.0	)	$	13.1
International⁽¹⁾	4.3		22.9			11.5
Income before income taxes	$	30.5	$	19.9		$	24.6

⁽¹⁾ "International" reflects non-U.K. income before income taxes.

Schedule of Provision for Income Taxes

The provision for income taxes consisted of the following:



	Years ended December 31,
In millions	2018			2017			2016
Currently payable
U.K.	$	0.2		$	(0.2	)	$	0.3
International⁽¹⁾	5.1			6.2			3.6
Total current taxes	$	5.3		$	6.0		$	3.9
Deferred
U.K.	$	3.4		$	(0.1	)	$	3.4
International⁽¹⁾	(3.2		)	(2.6		)	(0.5		)
Total deferred taxes	$	0.2		$	(2.7	)	$	2.9
Total provision for income taxes	$	5.5		$	3.3		$	6.8

⁽¹⁾ "International" reflects non-U.K. income before income taxes.

Reconciliation of Income before Income Taxes and Total Provision for Income Taxes

Differences between the financial reporting and the corresponding tax basis of assets and liabilities and the different income tax rates and laws applicable to the Company, among other factors, give rise to permanent differences between the statutory tax rate applicable in the U.K. and the effective tax rate presented in the consolidated income statement, which in 2018, 2017 and 2016 were as follows:



	Years ended December 31,
In millions	2018			2017			2016
Income before income taxes	$	30.5		$	19.9		$	24.6
Provision for income taxes at the U.K. statutory tax rate (2018: 19%, 2017:19.25%, 2016: 20.0%)	5.8			3.8			4.9
Effect of:
Non-deductible expenses	0.1			0.8			0.4
Movement in valuation allowances	—			(0.9		)	0.7
Differences in income tax rates in countries where the Company operates⁽¹⁾	0.3			2.2			(0.5		)
Effect of U.S. tax reform	—			(4.0		)	—
Effect of changes in tax rates (excluding U.S. tax reform) ⁽²⁾	0.2			1.1			—
Movement in uncertain tax positions	0.1			0.9			0.9
Other	(1.0		)	(0.6		)	0.4
Total provision for income taxes	$	5.5		$	3.3		$	6.8

⁽¹⁾ Refers mainly to the effects of the differences between the statutory income tax rate in the U.K. against the applicable income tax rates of each country where the Company operates.

⁽²⁾ The U.K. corporation tax rate decreased from 21% to 20% with effect from April 1, 2015, and from 20% to 19% with effect from April 1, 2017. A further reduction in the U.K. corporation tax rate is expected to 17% from April 1, 2020.

Schedule of Unrecognized Tax Benefits

Reconciliations of the beginning and ending gross unrecognized tax benefits were as follows:



	Years ended December 31,
In millions	2018			2017			2016
Beginning balance	$	2.8		$	1.9		$	1.0
Gross increases based on tax positions related to the current year	1.4			1.0			0.9
Reductions due to expiry of statute of limitations	(1.0		)	(0.1		)	—
Ending balance	$	3.2		$	2.8		$	1.9

Non-current	$	3.2		$	2.8		$	1.9

Summary of Tax Years Open by Major Tax Jurisdiction

The following is a summary of the tax years open by major tax jurisdiction:



	Jurisdiction		Years open
	U.K.		2017 - 2018
	U.S. Federal		2016 - 2018
	U.S. State and local		2015 - 2018
	France		2016 - 2018
	Czech Republic		2015 - 2018
	Germany		2015 - 2018
	China		2016 - 2018
	Canada		2015 - 2018

Schedule of Deferred Tax Assets and Liabilities

Deferred taxes were recorded in the Consolidated Balance Sheets as follows:



	December 31,
In millions	2018			2017
Other non-current assets	$	18.6		$	20.8
Other non-current liabilities	(3.5		)	(4.2		)
Net deferred tax assets	$	15.1		$	16.6

The tax effects of the major items recorded in deferred tax assets and liabilities were as follows:



	December 31,
In millions	2018			2017
Deferred tax assets
Pension benefits	$	7.7		$	10.9
Tax loss and credit carry forwards	20.7			24.8
Other	5.2			1.6
Total deferred tax assets	33.6			37.3
Valuation allowances	(15.0		)	(15.0		)
Deferred tax assets, net of valuation allowances	$	18.6		$	22.3
Deferred tax liabilities
Property, plant and equipment	$	3.5		$	5.7
Total deferred tax liabilities	$	3.5		$	5.7
Net deferred tax assets	$	15.1		$	16.6