The Company recognized provisions when there is present obligation as a result of past event and it is probable that there will be an outflow of resources required to settle the obligation in respect of which a reliable estimate can be made A disclosure for Contingent liabilities is made when there is a possible obligation or present obligations that may, but probably will not, require an outflow of resources. These are reviewed at each Balance Sheet date and adjusted to reflect the current best estimates. Contingent assets are neither recognized nor disclosed in the financial statements.
(i) All Identifiable items of Income and Expenditure pertaining to prior period are accounted through ‘'Prior Period Items''.
(ii) Extraordinary items are income or expenses that arise from events or transactions that are clearly distinct from the ordinary activities of the enterprise and, therefore, are not expected to recur frequently or regularly. The nature and the amount of each extraordinary item be separately disclosed in the statement of profit and loss in a manner that its impact on current profit or loss can be perceived.
(iii) Exceptional items are generally non-recurring items of income and expenses within profit or loss from
ordinary activities, which are of such, nature or incidence.
All financial assets and liabilities are initially recognized at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities, which are not at fair value through profit or loss, are adjusted to the fair value on initial recognition.
A financial asset is measured at amortized cost if it is held within a business model whose objective is to hold the asset in order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.
A financial asset is measured at FVTOCI if it is held within a business model whose Objective is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.
A Financial asset which is not classified as AC or FVOCI are measured at FVTPL e.g., investments in mutual funds. A gain or loss on a debt investment that is subsequently measured at fair value through profit or loss is recognised in profit or loss and presented net in the Statement of Profit and Loss within other gains/(losses) in the period in which it arises.
The Company has accounted for its investments in subsidiaries at cost and not adjusted to fair value at the end of each reporting period. Cost represents amount paid for acquisition of the said investments.
All financial liabilities are recognized at fair value.
Financial liabilities are carried at amortized cost using the effective interest method. For trade and other payables maturing within one year from the balance sheet date, the carrying amounts approximate fair value due to the short maturity of these instruments
Operating segment is a component of an entity:
a. That engages in business activities from which it may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the same entity).
b. Whose operating results are regularly reviewed by the entity's chief operating decision maker to make decision about resources to be allocated to the segments and assess its performance, and
c. For which discrete financial information is available.
The Company is engaged in Trading of Paper. As there are no two or more separate reportable segments, Segment Reporting as per Ind AS -108, “Operating Segments” is not prepared.
Events after the reporting period are those events, favourable and unfavourable, that occur between the end of the reporting and the date when the financial statements are approved by the Board of Directors in case of a company, and, by the corresponding approving authority in case of any other entity for issue. Two types of events can be identified:
a. Those that provide evidence of conditions that existed at the end of reporting period (adjusting events after the reporting period);
b. Those that are indicative of conditions that arose after the reporting period ( non-adjusting events after the reporting period).
An entity shall adjust the amounts recognized in its financial statements to reflect adjusting events after the reporting period.
As per the information provided and Books of Account no such events are identified during the reporting period. Hence Ind AS 10 Events After the Reporting Period is not applicable.
Construction contract is a contract specifically negotiated for the construction of an asset or a combination of assets that are closely interrelated or interdependent in terms of their design, technology, and function or their ultimate purpose or use.
The company is engaged in trading of Paper Board and Recycled Waste Paper. Hence. Ind AS 11 “Construction Contract” is not applicable.
The Tax Expense for the period comprises of current and deferred tax.
Current Tax on Income is determined and provided on the basis of taxable income computed in accordance with the provisions of the Income Tax Act, 1961.
In the year in which ‘Minimum Alternative Tax ‘(MAT) on book profits is applicable and paid, eligible MAT credit equal to the excess of MAT paid over and above the normally computed tax, is recognized as an asset to be carried forward for set off against regular tax liability when it is probable that future economic benefit will flow to the Company within the MAT credit Entitlement period as specified under the provisions of Income Tax Act, 1961.
• Deferred Taxes:
Deferred tax liabilities are recognized for all timing differences. Deferred tax assets are recognized for deductible timing differences only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized. In situations where the Company has unabsorbed depreciation or carry forward tax losses, all deferred tax assets are
recognized only if there is virtual certainty supported by convincing evidence that they can be realized against future taxable profits.
At each reporting date, the Company re-assesses unrecognized deferred tax assets. It recognizes unrecognized deferred tax asset to the extent that it has become reasonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available against which such deferred tax assets can be realized.
The carrying amount of deferred tax assets are reviewed at each reporting date. The Company writes-down the carrying amount of deferred tax asset to the extent that it is no longer reasonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available against which deferred tax asset can be realized. Any such write-down is reversed to the extent that it becomes reasonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available.
As per our Report of even date For and on behalf of the Board of Directors
For M M REDDY & CO., Bandaram Pharma Packtech Limited
Chartered Accountants (Formely Known as Shiva Medicare Limited)
Firm Regn No. 010371S
Sd/- Sd/- Sd/-
M Madhusudhana Reddy B. Deepak Reddy B. Muniratnam Reddy
Partner Managing Director Chiarman
Membership No 213077 DIN No.07074102 DIN No.: 09487708
UDIN: 24213077BKBHCI5049
Date: 29-05-2024 Sd/- Sd/-
Place: Hyderabad V. Sivakumar Vellanki Neha Kankariya Jain
C.F.O. Company Secretary