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Accounting Policies of Has Lifestyle Ltd. Company

Mar 31, 2015

1) Basis of preparation:-

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material respects with the accounting standards specified under Section 133 of the Companies Act, 2013, read with rule 7 of the Companies (Accounts) Rules, 2014, and the relevant provisions of the Companies Act, 2013. The accounting policies adopted in the preparation of financial statements are consistent with those of previous year.

2) Use of Estimates:-

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported value of assets and liabilities on the date of the financial statements and reported amount of revenue and expenditure for the year. Actual results could differ from these estimates. Any revision to accounting estimates is recognized prospectively in the current and future periods

3) Tangible/Intangible Fixed Assets:-

Fixed assets are stated at cost, net of accumulated depreciation. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use. Any trade discounts and rebates are deducted in arriving at the purchase price.

Subsequent expenditure related to an item of fixed asset is added to its book value only if it increases the future benefits from the existing asset beyond its previously assessed standard of performance. All other expenses on existing fixed assets, including day-to-day repair and maintenance expenditure and cost of replacing parts, are charged to the statement of profit and loss for the year during which such expenses are incurred. Trade Mark is amortized at 10% per annum.

4) Depreciation:-

Depreciation on all the fixed assets is provided at the rates specified under schedule XIV to the Companies Act, 1956. In case of assets discarded, depreciation is charged till the date of disposal of assets. Depreciation is provided pro-rata to the period of use on WDV method.

5. Amortization of the Shares Issue Expenses:-

The share issue expenses are written off at 20% P.A. The unabsorbed expenses are classified as other asset under non- current asset.

6. Revenue Recognition:-

Sale of products is recognized when the goods are delivered to the customers.

7. Inventory:-

Inventories are valued at cost.

8. Retirement and Employee Benefits:-

The Employee benefits are recognized as & when they are paid. Retirement benefit in the form of provident Fund is a defined contribution scheme and the contributions are charged to the statement of profit and loss of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the fund.

9. Provision for Taxation:-

Current tax comprises of provision of income tax in accordance with the provision of Income Tax Act, 1961. A tax expense comprises current and deferred tax. Company has unabsorbed depreciation & business loss. As a result company does not expect any current tax and hence no tax provision is made during the year. Deferred income taxes reflect the impact of timing differences between taxable income and accounting income originating during the current year and reversal of timing difference for the earlier years. Deferred tax is measured using the tax rates and the laws enacted or substantively enacted at the reporting date.

10. Provision:-

Provision are recognized when there is a present obligation as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and there is a reliable estimate of the amount of the obligation. Provisions are measured at the best estimate of the expenditure required to settle the present obligation at the Balance sheet date and are not discounted to its present value.

11. VAT Payment:-

Company opted for the composition scheme under MVAT Act; therefore VAT is not recovered from the customer. Company pays the sales tax on the turnover.

12. Contingent Liabilities:-

Contingent liability is a possible obligation that arises from past events beyond the control of the company or a present obligation that is not recognized because it is not possible that an outflow of resources will be required to settle the obligation.

13. Previous Year figures have been re-grouped/re-classified, wherever necessary to conform to the current year presentation.

14. Investments:-

Long term investments are stated at cost

* Team India Managers Limited ceases to be the Holding Company of Has Lifestyle Private Limited since 10th March, 2014. Accordingly, Team India Food Private Limited a Subsidiary of Team India Managers Limited also ceases to be the Fellow Subsidiary of Has Lifestyle Private Limited since 10th March, 2014.


Mar 31, 2014

1) Basis of preparation:-

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material respects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956. The accounting policies adopted in the preparation of financial statements are consistent with those of previous year.

2) Use of Estimates:-

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported value of assets and liabilities on the date of the financial statements and reported amount of revenue and expenditure for the year. Actual results could differ from these estimates. Any revision to accounting estimates is recognized prospectively in the current and future periods

3) Tangible Fixed Assets:-

Fixed assets are stated at cost, net of accumulated depreciation. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use. Any trade discounts and rebates are deducted in arriving at the purchase price.

Subsequent expenditure related to an item of fixed asset is added to its book value only if it increases the future benefits from the existing asset beyond its previously assessed standard of performance. All other expenses on existing fixed assets, including day-to-day repair and maintenance expenditure and cost of replacing parts, are charged to the statement of profit and loss for the year during which such exposes are incurred.

4) Depreciation:-

Depreciation on all the fixed assets is provided at the rates specified under schedule XIV to the Companies Act, 1956. In case of assets discarded, depreciation is charged till the date of disposal of assets. Depreciation is provided pro-rata to the period of use on WDV method.

5. Amortization of the Shares Issue Expenses:-

The share issue expenses are written off at 20% P.A. The unabsorbed expenses are classified as other asset under non- current asset.

6. Revenue Recognition:-

Sale of products is recognized when the goods are delivered to the customers.

7. Inventory:-

Inventories are valued at the lower of cost and net realizable value.

8. Retirement and Employee Benefits:-

The Employee benefits are recognized as & when they are paid. Retirement benefit in the form of provident Fund is a defined contribution scheme and the contributions are charged to the statement of profit and loss of the year when the contributions to the respective funds are due. There are no other obligations other than the contribution payable to the fund.

9. Provision for Taxation;-

Current tax comprises of provision of income tax in accordance with the provision of Income Tax Act, 1961. A tax expense comprises current and deferred tax. Company has unabsorbed depreciation & business loss. As a result company does not expect any current tax and hence no tax provision is made during the year. Deferred income taxes reflect the impact of timing differences between taxable income and accounting income originating during the current year and reversal of timing difference for the earlier years. Deferred tax is measured using the tax rates and the laws enacted or substantively enacted at the reporting date.

10. Provision:-

Provision are recognized when there is a present obligation as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and there is a reliable estimate of the amount of the obligation. Provisions are measured at the best estimate of the expenditure required to settle the present obligation at the Balance sheet date and are not discounted to its present value.

11. VAT Payment:-

Company opted for the composition scheme under MVAT Act; therefore VAT is not recovered from the customer. Company pays the sales tax on the turnover.

12. Contingent Liabilities:-

Contingent liability is a possible obligation that arises from past events beyond the control of the company or a present obligation that is not recognized because it is not possible that an outflow of resources will be required to settle the obligation.

 
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