Page 235 - FBL AR 2019-20

CORPORATE STATUTORY FINANCIAL
OVERVIEW STATEMENTS STATEMENTS

Notes to the Consolidated financial statements for the year ended March 31, 2020

63 The Group has given share application money of H597.00 Lakhs to Noble Explochem Ltd, whose total equity as at March 31, 2019, as
per the available latest audited financial statements for the year ended March 31, 2019, is negative, where the independent auditors of
Noble had issued an adverse audit opinion on the aforesaid financial statements. Further, the operations of Noble were suspended since
December 2006. Noble was under insolvency proceedings from May 14, 2018. The Group had been accepted as financial creditor by
the NCLT. The NCLT has passed an Order approving the plan filed by one of the resolution applicants, pursuant to which an amount of
H617.62 Lakhs (including interest) has been received during the year.
64 a) In view of the amalgamation referred to in note 1.2, the Parent Company had recognised a deferred tax asset on unutilised carried
forward losses and depreciation in respect of DIL Limited as it is probable that future taxable profits will be available against which
the unutilised carried forward losses can be utilised.

b) During the year ended March 31, 2020, the management has assessed the recoverability of MAT credit entitlement and recognised
MAT credit of H5,072.14 Lakhs (presented within deferred tax asset). Further, the effect of change in the Minimum alternative tax rate
from 18% to 15% plus applicable surcharge and health and education cess thereon as enacted in the Taxation Law (Amendment)
Ordinance, 2019 and also a change in the income tax rate from 30% to 25% plus applicable surcharge and health and education
cess thereon as enacted in the Union Budget 2019 for companies which have turnover less than 400 crores for the financial year
2017-18. Accordingly, the Parent Company had measured the deferred taxes (other than MAT credit entitlement as referred above)
as at March 31, 2020 at the eligible tax rate of 25% plus applicable surcharge and health and education cess thereon.

c) The combined effects of the above [64(a) and 64(b)] have been included in the tax expense for the year ended 31st March, 2020.
reversal of current tax by 510.03 Lakhs and net credit for deferred tax of 1,611.08 Lakhs.
65 Details of dues to micro and small enterprises as per Micro, Small and Medium Enterprise
Development Act, 2006
( H in Lakhs )
Particulars March 31, 2020 March 31, 2019
(a) i) Principal amount remaining unpaid to any supplier at the end of the accounting year 98.01 97.89
ii) Interest due on above - -
The Total of (i) and (ii) 98.01 97.89
(b) The amount of interest paid by the buyer in terms of Section 16 of the Micro, Small and - -
Medium Enterprises Development Act, 2006 (27 of 2006) along with the amounts of the
payment made to the supplier beyond the appointed day during each accounting year
(c) The amount of interest due and payable for the period of delay in making payment (which - -
have been paid but beyond the appointed day during the year) but without adding the interest
specified under the Micro, Small and Medium Enterprises Development Act, 2006
(d) The amount of interest accrued and remaining unpaid at the end of each accounting year; and - -
(e) The amount of further interest remaining due and payable even in the succeeding years, - -
until such date when the interest dues above are actually paid to the small enterprises for the
purpose of disallowance as a deductible expenditure under Section 23 of the Micro, Small and
Medium Enterprises Development Act, 2006
The information regarding Micro and Small Enterprises has been determined to the extent such parties have been identified on the basis of
information available with the Group. This has been relied upon by the auditors.
66 Capitalisation of borrowing costs
During the year ended March 31, 2020, the Group capitalised the following borrowing costs attributable to qualifying assets to the cost of
property, plant and equipment / capital work-in-progress (CWIP). Consequently, finance costs disclosed under note 39 are net of amounts
capitalised by the Group Company.
( H in Lakhs )
Particulars March 31, 2020 March 31, 2019
Finance costs (Including forex revaluation) 234.29 4.84
Total 234.29 4.84

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