BPP study text Practice Bank – Holmes & Deakin

Hi,

This exercise relates to partial disposals of interest in subsidiaries.

Question (b) : I don’t understand why they have adjusted Holmes’ reserves with “Tax on parent’s gain” – (30), and haven’t adjusted the reserves with the gain arising from disposal in itself which is 100.

It seems inconsistent to recognise a tax element without recognising the item to which it relates.

Could someone explain, please?

Thank you in advance.