9. INCOME TAXES Notes to Consolidated Financial Statements [in thousands of Canadian dollars, except per share amounts] December 31, 2012 and 2011 [a] The following are the major components of income tax expense for the years ended December 31: 2012 2011 $ $ Statement of Income Current income tax expense  Based on taxable income of the current year  136,653 132,387 Adjustments in respect of prior years (2,561) (967) 134,092 131,420 Deferred income tax expense Origination and reversal of temporary differences  17,417 12,203 Other  105 548 17,522 12,751 Income tax expense reported in the statement of income  151,614 144,171 Statement of Other Comprehensive Income (Loss) Deferred income taxes  Unrealized gain (loss) on available-for-sale fi nancial assets  287 (449) Reversal of losses to net income on available-for-sale fi nancial assets  19 125 Income tax expense (recovery) reported in other comprehensive income (loss)  306 (324) 2012 2011 % % Combined Canadian federal and provincial income tax rate  26.5 28.2 Increase (decrease) in income taxes resulting from  Impact of rate changes on deferred income taxes  3.6 (1.0) Recovery of prior years’ provisions for settled tax items  (0.5) 0.4  Other, net  0.5 0.1 30.1  27.7 [b] The following is a reconciliation between CI’s statutory and effective income tax rates for the years ended December 31: 75