Accounting Policies of Siddha Ventures Ltd. Company

Mar 31, 2024

4) Significant Accounting Policies:

a) Overall Considerations :-

The financial statements have been prepared using significant accounting policies and
measurement basis that are in effect at 31^st March, 2024 as summarised below:-

b) Current versus non-current classification:-

The company presents assets and liabilities in the balance sheet on current and non-current
classification:-

i) The asset/liability is expected to be realised/settled in normal operating cycle;

ii) The asset is intended for sale or consumption;

iii) The asset/liability is held primarily for purpose of trading;

iv) The asset/liability is expected to be realised/settled within twelve months after reporting
period;

v) The asset is cash or cash equivalent unless it is restricted from being exchanged or used to
settle a liability for at least twelve months after reporting date;

vi) In the case of a liability, there is no unconditional right to defer settlement of the liability
for at least twelve months after reporting date;

All other assets and liabilities are classified as non-current.

c) Cash and Cash Equivalents

For the purpose of presentation in the Statement of Cash Flows, cash and cash equivalents
includes cash on hand, cash at bank, highly liquid investments with original maturities of
three months or less , which are readily convertible to known amounts of cash and which are
subject to an insignificant risk of changes in value.

d) Taxation

Tax expense recognised in the Statement of Profit or Loss comprises the sum of the current tax
and deferred tax except the ones recognised in Other Comprehensive Income or directly in
Equity.

i) Current Income Tax

Calculation of current tax is based on tax rates and tax laws that have been enacted for
the reporting period. Current Income Tax relating to items recognised outside the
profit or loss is recognised either is Comprehensive Income or in Equity.

Current Income Tax for the current and prior periods is recognised at the amounts
expected to be paid to or received from the tax authorities, using the tax rates and the
tax laws enacted or substantively enacted by the Balance Sheet date.

The Company off sets current tax assets and liabilities , where it has legally
enforceable right to set off the recognised amounts and where it intends either to settle
on a net basis , or to realise the asset and settle the liability simultaneously.

ii) Deferred Tax

Deferred tax assets and liabilities are measured at the tax rates that are expected to
apply to the period when the asset is realized or the liability is settled based on the tax
rate (and tax laws) that have been enacted or substantively enacted at the end of the
reporting period.

Deferred tax is recognised in respect of the temporary differences between the
carrying amount of assets and liabilities for the financial reporting purposes and the
corresponding amounts used for taxation purposes (i.e. tax base).

Deferred tax assets are recognised to the extent possible that the taxable profit will be
available against which the deductible temporary differences can be utilized.

Entire deferred tax asset to be utilized. Any reduction is reversed to the extent possible
that it becomes probable that sufficient taxable profit will be available.

Deferred tax relating to the items recognised outside the Statement of Profit and Loss
is recognised either in other comprehensive income or in equity. Deferred tax assets
and liabilities are offset when there is legally enforceable right to set off the non¬
current assets against non-current liabilities and when they relate to income taxes
levied by the same taxation authority and the Company intends to settle its non¬
current assets and liabilities on a net basis.

iii) Minimum Alternate Tax

Minimum Alternate tax (MAT) paid in accordance with the tax laws, which gives
future economic benefits in the form of adjustment to future tax liability, is considered
as an asset if there is convincing evidence that the Company will pay normal income
tax .MAT Credits are in form of unused tax credits that are carried forward by the
Company for a specified period of time. Accordingly, MAT Credit Entitlement has
been grouped with deferred tax assets (net). Correspondingly, MAT Credit
Entitlement has been grouped with deferred tax in Statement of Profit and Loss.

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Mar 31, 2014

A. Basis of Accounting

The financial statements have been prepared on accrual basis and under the historical cost convention in accordance with Generally accepted Accounting Principles (GAAP) in India and the Accounting Standard (AS) and the relevant provisions of the Companies Act, 1956.

B. Revenue recognition

Income and Expenditure are accounted for on accrual basis except otherwise stated.

C. Fixed Assets

Fixed assets are stated at cost of acquisition, inclusive of expenses incidental to their acquisition as reduced by accumulated depreciation thereon.

D. Investments

Unquoted Investment comprising of shares in private limited company is valued at cost price.

E. Inventories

Inventories comprising quoted and un- quoted shares. The quoted share valued at lower of cost or market value and unquoted shares are valued at cost.

F. Employee''s Benefits

a) Contribution to Provident Fund and other Funds are made in accordance with the Provident Fund and Family Pension Act, 1952 with effect from lstjuly,1995

b) Gratuity has not been provided in the accounts for the current year.

G. Taxation

Tax expenses comprises of current and deferred tax.

Current Tax is determined as the amount of tax payable in respect of taxable income for the year. The deferred tax for timing difference between the book & tax profit for the year is accounted for using tax rates and tax laws that have been enacted or substantially enacted at the Balance Sheet date. Deferred Tax Assets arising from the timing difference are recognised to the extent that there is virtual certainty that sufficient future taxable income will be available.

Minimum Alternate Tax (MAT) credit is recognised as an asset only when and to the extent there is convincing evidence that the Company will pay normal income tax during the specified period.

H. Provisions and Contingencies

A provision is recognised when the Company has a legal and constructive obligation as a result of a past event, for which it is possible that cash outflow will be required and a reliable estimate can be made of the amount of the obligation. A contingent liability is disclosed when the Company has a possible or present obligation where it is not probable that an outflow of resources will be required to settle it. Contingent assets are neither recognised nor disclosed.

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Mar 31, 2013

A. Basis of Accounting

The financial statements have been prepared on accrual basis and under the historical cost convention in accordance with Generally accepted Accounting Principles (GAAP) in India and the Accounting Standard (AS) and the relevant provisions of the Companies Act, 1956.

B. Revenue recognition

Income and Expenditure are accounted for on accrual basis except otherwise stated

C Fixed Assets

Fixed assets ore stated at cost of acquisition, inclusive of expenses incidental 10 their acquisition as reduced by accumulated depreciation thereon.

D. Investments

Unquoted Investment comprising of shares to private limited company is valued at cost price.

E Inventories

Inventories comprising quoted and un- quoted shares. The quoted share valued at lower of cost or inJirket value and un- quoted shares axe valued at cost.

F. Qnployee''s Benefits

a) Contribution to Provident Fund and other Funds are made in accordance with die Provident Fund and Family Pension Act, 1952 with effect from 1st hily,l995

b) Gratuity Jiasnoi been provided in the accounts for the current year.

G. Taxation

Tax expenses comprises of current and deferred tax.

Current Tax is determined as the amount of tax payable in respect of taxable income for the year. The deferred tax for timing difference between the book A tax profit for the year is accounted for using lax rates and tax laws thai have been enacted or substantially enacted at the Balance Sheet date. Deferred Tax Assets arising from the timing difference are recognised to the extent that there is virtual certainty that sufficient future taxable income will bo available.

Minimum Alternate Tax (MAT) credit is recognised as on asset only when and ro the extent there convincing evident*- that the Company wuT pay normal income tax during ihc specified period H. Provisions and Contingencies

A provision is recognised when the Company has a legal and constructive obligation as a result of a past event, for which it is possible that cash outflow will be required and a reliable estimate can be made of the amount of the obligation. A contingent liability is disclosed when the Company has a possible or present obligation where it is not probable that an outflow of resources wfll be required to settle it. Contingent assets are neither recognised nor disclosed

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Mar 31, 2012

A. Basis of Accounting

The financial Statements have Seen prepared on accrual basis and under the historical cost convention in accordance with Generally accepted Accounting Principles (GAAP) in India and the Accounting Standard (AS) and the relevant provisions of the Companies Act, 1956.

B. Revenue recognition

Income and Expenditure are accounted for on accrual basis accept otherwise Stated.

C. Fixed Assets

Fixed assets are stated at cost of acquisition, inclusive of expenses incidental to their acquisition as reduced by accumulated depreciation thereon.

D. Investments

Unquoted investment comprising of shares in private limited company is valued at Cost price.

E. Inventories

Inventories comprising quoted and un-quoted shares. The quoted share valued at lower of cost or market value and un-quoted shares are valued at cost.

F. Employee's Benefits

a) Contribution to Provident Fund and other Funds are made in accordance with the Provident Fund and Family Pension Act, 1952 with effect from 1st July, 1995.

b) Gratuity has not been provided in the accounts for the current year.

G. Taxation

Tax expenses comprises of current and deferred tax.

Current Tax is determined as the amount of tax payable in respect of taxable income for the year. The deferred tax for timing difference between the book & tax profit for the year is accounted for using tax rates, and tax laws that have been enacted to substantially enacted to the Balance Sheet date. Deferred Tax Assets arising from the timing difference are recognised to the extent that there is virtual certainty that sufficient future taxable Income will be available.

Minimum Alternate Tax (MAT) credit is recognised as an asset only when and to the extent there is convincing evidence that the Company will pay normal income tax during the specified period

H. Provisions and Contingencies

A provision is recognised when the Company has a legal and constructive obligation as a result of a past event, for which it is possible that cash outflow will be required and a reliable estimate can be made of the amount of the obligation. A contingent liability is disclosed when the Company has a possible or present obligation where it is not probable that an outflow of resources will be required to settle it. Contingent assets are neither recognised nor disclosed.