FOR AGE ORBIT INC NOTES TO THE CONSOLID A TED FINANCIAL ST A TEMENTS Continued Y ears ended January 31 2007 and 2006 9 SHARE C APIT AL Continued On January 30 2007 the company issued 100000 class F shares in consideration of an investment in 91619254 Qu ebec Inc in the amount of 100000 see Note 13 During the year 2007 the company redeemed 3170 class I shares for a cash consideration of 53242 10 INCOME T A XES Income tax expense comprises the following 2007 2006 Current 3097617 552232 F uture 75692 14615 3173309 566847 The income tax expense differs from the amount calculated by applying canadian statutory rates federal and provicial of 3408 for January 31 2007 January 31 2006 2934 to the earnings before income taxes and noncontrolling interest as follows 2007 2006 Earnings before income taxes and noncontrolling interest 9444527 1996417 Income taxes based on statutory rates 3218695 585716 Increase decrease of income taxes due to the following Nondeductible expenses 43619 13581 Nontaxable portion of capital loss gain 7965 743 Effect of corporate tax rate modification 41852 34877 Nontaxable share in earnings loss of company subject to significant influence 22085 7176 Effect of refundable taxes payable 18173 Other items 14860 10346 T otal income taxes 3173309 566847 F uture income taxes are based on differences between the accounting and tax values of assets and liabilities and consist of the following as at the dates presented 2007 2006 F uture income tax liabilities L ongterm investments 64792 64792 Capital assets 245367 211319 310159 276111 F39