(5) Income Taxes

The paid and due taxes on income and earnings as well as deferred tax accruals are recognised as taxes on income.

The taxes expense in the reporting period was as follows:

in th. euros   2008   2007
Paid or due taxes        
Germany   12,542   14,472
Other countries   3,169   3,181
Deferred taxes        
from valuation differences in terms of time   - 73   - 1,014
from losses brought forward   467   1,408
Income taxes   16,105   18,047

The reconciliation of the actual tax expenses and the amount that applies taking into account a weighted domestic and foreign tax rate of around 27 per cent (prior year: 33 per cent) on the profit before taxes income for the reporting year is as follows:

in th. euros   2008   2007
Earnings before taxes   61,533   59,006
Expected tax expense   16,453   19,416
Disposal of goodwill   - 373   0
Tax-free capital gains   - 314   0
Tax rate change for deferred taxes   - 45   - 1,320
Tax expense of earlier years   0   52
Tax revenue of earlier years   - 360   - 114
Non-deductible expenses   646   500
Addition of deferred taxes assets   - 532   - 793
Depreciation/disposal of deferred tax assets   563   404
Others   67   - 98
Actual tax expense   16,105   18,047