k. Provisions, contingent liabilities and contingent assets

The Company creates a provision when there is a present obligation as a result of an obligating event that probably
requires an outflow of resources and a reliable estimate can be made of the amount of the outflow. Provisions are not
discounted to their present value and are determined based on the best estimate required to settle the obligation at the
reporting date. These estimates are reviewed at each reporting date and adjusted to reflect the current best estimate.

Contingent liabilities are disclosed unless the possibility of outflow of resources is remote.

Contingent assets are neither recognized nor disclosed in the financial statements.

l. New Accounting standards adopted by the Company:

1. Appendix C to Ind AS 12 - Uncertainty over income tax treatments

Appendix C to Ind AS 12 clarifies the accounting for uncertainties in income taxes. The interpretation is to be applied lo
the determination of taxable profit (tax loss), tax bases, unused tax losses, unused tax credits and tax rates, when there
is uncertainty over income tax treatments under Ind AS 12. The adoption of Appendix C to Ind AS 12 does not have ary
material impact on the financial statements of the Company.

2. Amendment to Ind AS 12 - Income Taxes

The Ministry of Corporate Affairs issued amendments to Ind AS 12 - Income Taxes. The amendments clarify that an
entity shall recognize the income tax consequences of dividends on financial instruments classified as equity, where the
entity originally recognized those past transactions or events that generated distributable profits and are recognized by
the entity. The adoption of amendment to Ind AS 12 does not have any material impact on the financial statements of the
Company.

3. Amendment to Ind AS 19 - Plan Amendment, Curtailment or Settlement

The Ministry of Corporate Affairs issued amendments to Ind AS 19, ‘Employee Benefits’, in connection with accounting
for plan amendments, curtailments and settlements requiring an entity to determine the current service costs and the net
interest for the period after the re-measurement using the assumptions used for the re-measurement; and determine the
net interest for the remaining period based on the remeasured net defined benefit liability or asset. The adoption of
amendment to Ind AS 19 does not have any material impact on the financial statements of the Company.

4. Transition to Ind AS 116

Ministry of Corporate Affairs (“MCA”) through Companies (Indian Accounting Standards) Amendment Rules, 2019 and
Companies (Indian Accounting Standards) Second Amendment Rules, has notified Ind AS 116 Leases which replaces
the existing lease standard, Ind AS 17 Leases and other interpretations. Ind AS 116 sets out the principles for the
recognition, measurement, presentation and disclosure of leases for both lessees and lessors. It introduces a single, on-
balance sheet lease accounting model for lessees.

The Company has evaluated for adopting Ind AS 116 from effective annual reporting period beginning April 1, 2019 and
found that the adoption of amendment to Ind AS 116 did not have any material impact on the financial statements of the
Company.

Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under Companies
(Indian Accounting Standards) Rules as issued from time to time. On March 23, 2023, MCA amended the Companies
(Indian Accounting Standards) Amendment Rules, 2022, as below.

Ind-AS 16-Property Plant and equipment-The amendment clarifies that excess of net sale proceeds of items
produced over the cost of testing, if any, shall not be recognized in the profit or loss but deducted from the direct y
attributable costs considered as part of cost of an item of property, plant, and equipment. The effective date for adoption
of this amendment is annual periods beginning on or after April 1, 2022. The Company has evaluated the amendment
and there is no impact on its consolidated financial statements.

Ind-AS 37- Provisions, Contingent Liabilities and Contingent Assets-The amendment specifies that the ‘cost of
fulfilling’ a contract comprises the ‘costs that relate directly to the contract’. Costs that relate directly to a contract can
either be incremental costs of fulfilling that contract (examples would be direct labour, materials) or an allocation of other
costs that relate directly to fulfilling contracts (an example would be the allocation of the depreciation charge for an item
of property, plant and equipment used in fulfilling the contract). The effective date for adoption of this amendment is
annual periods beginning on or after April 01,2022, although early adoption is permitted. The Company has evaluated the
amendment and the impact is not expected to be material.