Amal Ltd 2020-21

Amal Ltd | Annual Report 2020-21 assessment year 2020-21 (financial year 2019-20). Accordingly, the current tax provision and the deferred tax liability have been remeasured, and the resultant impact of reversal of current tax provision of ` 42.75 lakhs and deferred tax liability of ` 19.89 lakhs is recognised during the year. The major components of income tax expense for the years ended March 31, 2021 and March 31, 2020 are: a) Income tax expense recognised in the Standalone Statement of Profit and Loss ( ` lakhs) Particulars 2020-21 2019-20 i) Current tax Current tax on profit for the year 277.13 386.93 Adjustments for current tax of prior periods (42.75) (1.12) Total current tax expense 234.38 385.81 ii) Deferred tax (Decrease) | Increase in deferred tax liabilities (20.16) (43.07) Decrease | (Increase) in deferred tax assets 7.34 (1.66) Adjustments for deferred tax of prior periods due to change in statutory tax rate (19.89) 8.94 Total deferred tax expense | (benefit) (32.71) (35.79) Income tax expense 201.67 350.02 b) The reconciliation between the statutory income tax rate applicable to the Company and the effective income tax rate of the Company is as follows: Particulars 2020-21 2019-20 a) Statutory income tax rate 25.17% 29.12% b) Differences due to: i) Non-deductible expenses 2.28% (0.80)% ii) Exempt income (2.53)% (2.07)% iii) Tax adjustment of earlier years (3.94)% 0.70% iv) Others (2.40)% 0.60% Effective income tax rate 18.58% 27.55% The applicable statutory income tax rates for the year ended March 31, 2021 and March 31, 2020 is 25.17% and 29.12%, respectively. Note 25.4 Current and deferred tax (continued)