291 / 300
Notes forming part of onancial statements (Contd.)
Annual Report 2016-17
•
291
Reconciliation of proot
(In
`
million)
Particulars
Note
Year ended March 31, 2016
Note
Indian
GAAP
Effect of
transition to
Ind AS
Reclassiocation
adjustments
Ind AS
Income
Revenue from operations
(net)
24 14,471.36
-
-
14,471.36
Other income
25 806.48
(11.78)
-
794.70 Note 3 and Note 4
Employee beneots expense 26.1 6,978.32
198.96
-
7,177.28 Note 5 and Note 6
Depreciation and
amortization expense
5.3 585.87
(0.52)
-
585.35 Note 8
Other expenses
27 2,438.10
(15.93)
-
2,422.17 Note 1, Note 4 and
Note 8
Proot before tax
3,658.49
(194.29)
-
3,464.20
Total tax expense
1,003.88
(4.90)
(30.77)
968.21 Note 7
Net proot for the year
2,654.61
(189.39)
30.77 2,495.99
Notes
Note 1
Under Indian GAAP, the expenditure and corresponding liability for escalation of lease rent during non-cancellable
lease period is required to be considered and total lease rent payable during non-cancellable lease period is recognized
on straight line basis over the non-cancellable lease period. Under Ind AS, this additional expenses and corresponding
liability on lease escalation is not required to be recognized if such escalation represents normal inpation in the
economy. Accordingly, the excess expenses and corresponding lease escalation liability is reversed. The impact arising
on this change is summarized as follows:
(In
`
Million)
Particulars
1-Apr-15 YE 31-Mar-16
Statement of proot and loss
Other expenses - Rent
-
(19.17)
Balance sheet
Trade payables
(29.89)
(49.06)
Adjustment to retained earnings
29.89
-
Note 2
Under Indian GAAP, a liability is recognized in respect of proposed dividend on Company’s equity shares, even though
the dividend is expected to be approved by the shareholders subsequent to reporting date. Under Ind AS, the liability for
dividend is recognized only when it is approved by the shareholders. The impact arising on this change is summarized
as follows:
(In
`
Million)
Particulars
1-Apr-15 YE 31-Mar-16
Balance sheet
Short-term provisions - Dividend payable and tax thereon
(481.43)
-
Adjustment to retained earnings
481.43
-