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Accounting Policies of Meglon Infra-Real (India) Ltd. Company

Mar 31, 2015

A. Use of Estimates : The preparation of financial statements requires estimates and assumptions

to be made that affect the reported amount of assets and 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 recognized in the period in which the results are known/ materialized.

b. Revenue recognition : Revenue is recognized to the extent that it is probable that the economic

benefits will flow to the company and revenue can be reliably measured.

c. Taxation : Current Tax : Provision for current income tax is made on the taxable income using

the applicable tax rates and tax laws.

d. Provisions and Contingent Liabilities Provisions: Provisions 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

Mar 31, 2014

1) Basis of Accounting:The Company prepares its financial statements as a going concern, under historical cost convention and on accrual basis, in accordance with the generally accepted accounting principles.

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 balances of assets and liabilities and the disclosure relating to contingent liabilities as at the date of financial statements and reported amount of income and expenses during the period. Although these estimates are based upon management''s best knowledge of current events and actions, actual results could differ from those estimates. Any revision to accounting estimates is recognized in the current and future periods.

3) Revenue Recognition:Revenue from services is recognized as per the terms of contract with customers when the related services are performed, or the agreed milestones are achieved.

Interest accrues on the time basis, determined by the amount outstanding and the rate applicable.

4) Fixed Assets: The company doesn''t hold any fixed assets so no disclosure regarding fixed assets is required.

5) Investments: Investments are classified into Long-term Investments. Long-term Investments are stated at cost. A provision for diminution is made to recognize a decline, other than temporary, in the value of Long-term Investments. However, fixed income long term securities are stated at cost, less amortization of Premium/ discount and provision for diminution to recognize a decline, other than temporary

6) Tax Expense: Deferred tax resulting from "Timing Difference" between book and taxable profit is accounted for using the tax rates and laws that are enacted or substantively enacted as on the Balance Sheet date. Deferred tax asset is recognized and carried forward only to the extent that there is a reasonable certainty that the asset will be realized in future Provision is made for tax on Income and dividend distribution tax as per the applicable provisions of Income Tax Act, 1961.

7) Foreign Exchange Transactions:There are no foreign currency transactions during the current period.

8) Dues to Micro, Small and Medium Enterprises: There are no amounts due to the suppliers covered under Micro, Small and Medium Enterprises Development Act, 2006;

9) Employee Benefits:

Retirement benefits to employees comprise of payments under Defined Contributions Plans like Provident Fund and payments under Defined Benefit Schemes like Gratuity and Leave Encashment Payment under Defined Contribution plans are charged to revenue on accrual. The liability in respect of defined benefit schemes is arrived based on actuarial valuation made at the end of the year by using projected unit credit method.

Mar 31, 2012

Not Available

Mar 31, 2010

1). The Company follows the accrual System of accounting in respect of all items of Assets, Liabilities, Income and Expenditure.

2). Fixed Assets are recorded at cost of acquisition including taxies and duties.

3). Depreciation on fixed Assets is provided on Straight line method as per the rates prescribed under Schedule XIV of the Companies Act, 1956.

4) Investments

Investments are classifieds into current investments and long term investments.

Current investments are carried at lower of cost or fair value. Any reductionin carrying value and reversal on such reductions are charged or credited to Profit & Loss account Long term investments are carried at cost less provision made to recognize any permanent decline, other than temporary in value of such investments

5) Earning Per Share

The earnings considered in ascertaining companys Earnings Per Share

3/31/2010 3/31/2009 Net Profit or Loss as per Profit & Loss A/c

Weighted Average number of Equity Shares 500,000 500,000

Earnings Per Share 0.02 -0.02

6). Taxes on Income Current tax is determined in accordance with the provisions of Income Tax Act,In the Absence of convincing evidence regarding availability of sufficient taxable income in future against which the Deferred Tax Asset/Liability can be adjusted, the company has not recognised the Deferred Tax Asset/Liability arising due to tax.

Oct 26, 12:00 am
Oct 26, 4:14 pm
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