Amal Ltd 2018-19

79 Note 22 Current and deferred taxes a) Income tax expense recognised in the Statement of Profit and Loss: ( ` 000) Particulars As at March 31, 2019 As at March 31, 2018 Current tax Current tax on profits for the year 4,661 - Total current tax expense 4,661 - Deferred tax Decrease | (Increase) in deferred tax assets (98) 12,467 (Decrease) | Increase in deferred tax liabilities 17,729 (12,467) Total deferred tax expense | (benefit) 17,631 - Income tax expense 22,292 - b) Reconciliation of tax expense and the accounting profit multiplied by statutory income tax rate: ( ` 000) Particulars As at March 31, 2019 As at March 31, 2018 Statutory income tax rate 27.82% 27.82% Difference due to: Expenses not deductible for tax purposes 4.71% 6.38% Income exempt from income tax (0.57%) - Unabsorbed depreciation loss not recognised earlier (27.29%) (34.20%) Deferred tax expense 17.67% - Effective tax rate 22.34% - c) Tax losses and Tax credits ( ` 000) Particulars As at March 31, 2019 As at March 31, 2018 Unused tax losses for which no deferred tax asset has been recognised - 10,905 Notes: i) During 2018-19, unabsorbed depreciation has been used ` 978.93 lakhs to reduce tax liability of ` 272.34 lakhs ii) The Company was declared sick by the BIFR under section 17(1) of SICA (Special Provisions), 1985 and hence there is no MAT liability under section 115JB of the Income Tax Act, 1961 for the current year. Notes to the Financial Statements