Mar 31, 2011
1, NOTES ON ACCOUNTS:
(a) Contingent Liabilities I not provided for during the year:
Current Year Previous Year 31.03.2011 30.06.2010
Disputed claims against Rs.32,93,993/- Rs.32,93,993/- company towards income tax demand not acknowledge as debt for the year 2005-06 for which appeal is pending before CIT (Appeal), Chennai.
Disputed claims against Rs 7,47,583/- company towards income tax demand not acknowledge as debt for the year 2002-03 for which appeal is pending before CIT (Appeal), Chennai.
Disputed claims against company towards income tax Rs 2,08,93,344/- demand not acknowledge as debt for the year 2006-07 for which appeal is pending before CIT (Appeal), Chennai.
Disputed claims against company towards income tax Rs 18,60,820/- demand not acknowledge as debt for the year 2007-08 for which appeal is pending before CIT (Appeal), Chennai.
Disputed claims against Rs 51,22,334/- company towards income tax demand not acknowledge as debt for the year 2008-09 for which appeal is pending before CIT (Appeal), Chennai.
** Note: The Appeal is pending before Income Tax appellate authority, Chennai for the Assessment Year 2001-02 amounting to Rs.84,83,898/- which was acknowledged as debt during the current year.
(b) Segment Reporting: during the year company has traded in a single segment that's why as per AS -17 Segment wise Reporting not required.
(c) Related Party Disclosure:
Name of the related parties:
(1) Subsidiaries :
(a) Maars Infratech Pvt. Ltd
(b) Maars Software International Ltd. FZLLC-Dubai
(2) Key Management Personnel:
(a) Mr Nikunj Babulal Choradiya, Managing Director
(b) Mr. T. Varadharajan, Director Transaction with related parties
d. Deferred Tax Asset/Liability
Deferred tax on timing differences between taxable and accounting income is accounted for, using the tax rates and the tax laws enacted or substantially enacted as on the balance sheet date. Deferred tax assets on unabsorbed tax losses and unabsorbed depreciation are recognized only when there is a virtual certainty of their realization. Other items are recognized only when there is a reasonable certainty of their realization.
The Company has adopted Accounting Standard-22 on "Accounting for Taxes on Income" issued by the Institute of Chartered accountants of India. Consequently, the Company has not recorded deferred tax liability/Assets in respect of timing differences on account of Depreciation as on 31st March 2011 and the net effects of the same has been given in the Profit & Loss Account and Balance Sheet as on 31st March 2011.
e. Transaction with S mall Scale Industries:
The Company did not have any transactions with Small Scale Industrial (S Sis) Undertakings during the year ended March 31, 2011 and hence there are no amounts due to such undertakings. The identification of SMEs undertakings is based on the managements knowledge of their status. The Company has not received any information from suppliers regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any, relating to amount unpaid as at the year end together with interest paid / payable as required under the said Act have not been furnished.
Balances whether debit or credits are subject to confirmation. Balances in respect of certain sundry debtors, sundry creditors and loans and advances are taken as shown by the books of account and are subject to confirmation and consequent adjustments and reconciliation, if any.
g. All the figures have been rounded off to the nearest rupee.
I. The previous years figures have been regrouped/restated where ever it required.
h. We have verified the vouchers and documents which were made available to us for our verification. Where no such vouchers or documentary evidences were available, we relied on the information and explanation given by the management.
h. Cash on hand is as certified by the management.
i. Provision and contingent liabilities
Provisions are recognized when the Company has present legal or constructive obligation, a result of past events, for which it is probable that an outflow of economic benefits will be required to settle the obligation and a reliable estimate can be made for the amount of the obligation. Contingent liabilities, if any, are disclosed by way of notes to the Balance Sheet
As per our Report of even date attached