Mar 31, 2015
A. BASIS OF PREPARATION OF FINANCIAL STATEMENTS:
These Financial statements have been prepared to comply with Accounting Principles Generally accepted in India (Indian GAAP) the Accounting Standards notified under the Companies (Accounting Standard ) Rules,2006 and the relevant provisions of the CompaniesAct,1956.
B. USE OF ESTIMATES:
The preparation of financial statement in conformity with Indian GAAP requires judgments, estimates and assumptions to be made that affect the reported amount of assets and liabilities disclosure of contingent liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Difference between the actual results and estimates are recognised in the period in which the results are known/ materialized.
C FIXED ASSETS:
1. Fixed assets are stated at cost less accumulated depreciation. Cost comprises the purchase price or construction cost including any attributable cost of bringing the assets to its working condition for its use.
2. The life of the asset has been determined as per provisions of the Companies Act, 2013.
Depreciation on Fixed Assets is provided to the extent of depreciable amount on the Straight Line Method (SLM). Depreciation is provided based on useful life of the assets as prescribed in Schedule II to the Companies Act, 2013.
There is no inventory in the Company as the commercial activity is not being carried out during the year.
The company has not invested in any long term investments during the year.
G. REVENUE RECOGNITION:
Interest on loans are recorded on accrual basis. In the opinion of the Management of the Company all the current assets and the loan and advances are approximately of the value stated if realized in the ordinary course of business. The provision for all known liabilities are adequate and are not in excess of the amount considered reasonably necessary. Sundry Debtors, Creditors and loans and advances are shown as appearing in the accounts, and are subject to confirmation.
H. INCOME TAXES:
(a) Tax expense comprises of current tax and deferred tax charge or credit. Current tax is measured at the amount expected to be paid to the tax authorities in accordance with the Indian Income Tax Act. The deferred tax charge or credit is recognized using prevailing enacted or substantively enacted tax rate. Where there is unabsorbed depreciation or carry forward losses, deferred tax assets are recognized only if there is virtual certainty of realization of such assets. Other deferred tax assets are recognized only to the extent there is reasonable certainty of realization in future. Deferred tax assets/liabilities are reviewed as at each balance sheet date based on developments during the period and available case law to re-assess realization/liabilities.
(b) Income Tax has not been provided during the year as per the provisions of the Income Tax Act,1961, it will be provided after assessment proceedings if there will be any liability.
Mar 31, 2013
I) System of Accounting
The Financial statements are prepared on going concern concept under historical cost convention on accrual basis and are in accordance with the applicable accounting standards issued by the Institute of Chartered Accounts of India notified under section 211 (3C) and the other relevant provision of the Companies Act. 1956.
ii) Fixed Assets and Depreciation
A. Fixed assets are stated at cost less accumulated depreciation. Cost comprises the purchase price or construction cost including any attributable cost of bringing the ,assets to its working condition for its use.
B. Depreciation has been provided on straight line method at the rate specified in Schedule XIV of the Companies Act.,1956. Depreciation on additions and sales to fixed assets has been provided on prorate basis with reference to the date of installation or acquisition.
Valued at cost or fair market value whichever is lower.
iv) Revenue Recognition
i) Dividend on investment in Mutual Fund and Shares & Securities are accounted for on receipt/declaration basis.
ii) Profit/Loss on Redemption/Switchover to other scheme of Mutual Funds are recorded on the date of transaction and on advice receipt from the Mutual Fund.
iii) Interest on loans are recorded on accrual basis. In the opinion of the board all the current assets and the loan and advances are approximately of the value stated if realized in the ordinary course of business. The provision for all known liabilities are adequate and are not in excess of the amount considered reasonably necessary. Sundry Debtors, Creditors and loans and advances are shown as appearing in the accounts, and are subject to confirmation.