193 / 236
191
c) The reconciliation between the Statutory income tax rate applicable to the Group and the effective income
tax rate of the Group is as follows:
Particulars
2016-17
2015-16
a) Statutory income tax rate
34.61%
34.61%
b) Differences due to:
i)
Expenses not deductible for tax purposes
0.76%
1.29%
ii)
Income exempt from income tax
(2.33%)
(1.02%)
iii)
Income tax incentives
(3.37%)
(2.89%)
iv)
Others
(0.04%)
0.50%
Effective income tax rate
29.63%
32.49%
d) No aggregate amounts of current and deferred tax have arisen in the reporting periods which have not
been recognised in the Consolidated Statement of Profit and Loss or Other Comprehensive Income but
directly debited | (credited) to equity.
e) Current tax liabilities (net)
(
`
cr)
Particulars
As at
March 31, 2017
As at
March 31, 2016
As at
April 01, 2015
Opening balance
0.59
5.94
–
Add: Current tax payable for the year
87.11
108.03
84.01
Less: Taxes paid
(84.31)
(113.38)
(78.07)
Closing balance
3.39
0.59
5.94
f) Current tax assets (net)
(
`
cr)
Particulars
As at
March 31, 2017
As at
March 31, 2016
As at
April 01, 2015
Opening balance
4.36
1.57
–
Add: Tax paid in advance, net of provisions during the year
(3.15)
2.79
1.57
Closing balance
1.21
4.36
1.57
g) Deferred tax liabilities (net)
The balance comprises temporary differences attributable to the below items and corresponding movement in deferred
tax liabilities | (assets):
(
`
cr)
Particulars
As at
March 31,
2017
(Charged) |
Credited to
profit or loss
| OCI
As at
March 31,
2016
(Charged) |
Credited to
profit or loss
| OCI
As at
April 01,
2015
Property, plant and equipment
143.08
63.73
79.35
22.60
56.75
Total deferred tax liabilities
143.08
63.73
79.35
22.60
56.75
Provision for leave encashment
(9.24)
(1.24)
(8.00)
(0.42)
(7.58)
Provision for doubtful debts
(1.10)
0.22
(1.32)
0.18
(1.50)
Provision for doubtful advances
–
0.07
(0.07)
–
(0.07)
Unabsorbed depreciation *
(2.35)
(2.35)
–
–
–
Investment properties
(3.95)
(0.18)
(3.77)
(0.25)
(3.52)
Voluntary Retirement Scheme
–
–
–
0.16
(0.16)
Unrealised MTM losses on derivatives (CIRS)
(1.75)
(1.75)
–
–
–
Effective portion of gains and loss on cash flow
hedges
(0.25)
0.06
(0.31)
(0.31)
–
MAT credit entitlement
(23.02)
(22.95)
(0.07)
(0.07)
–
Total deferred tax assets
(41.66)
(28.12)
(13.54)
(0.71)
(12.83)
Net deferred tax (asset) | liabilities
101.42
35.61
65.81
21.89
43.92
* The Group has recognised deferred tax assets on carried forward tax losses and unabsorbed depreciation of
Amal Ltd. The subsidiary company has incurred the losses over the last few financial years. The Group has recognised
deferred tax assets to the extend deductible temporary difference. The subsidiary company is currently generating and
expected to generate taxable income from 2018 onwards. The losses can be carried forward for a period of 8 years as
per local tax regulations and the Group expects to recover the losses.
Notes
to the Consolidated Financial Statements