MAHINDRA & MAHINDRA LTD. | Integrated Annual Report 2021-22

321 MAHINDRA & MAHINDRA LTD. Integrated Annual Report 2021-22 c) The reconciliation of estimated income tax expense at tax rate to income tax expense reported in profit or loss is as follows: Rupees crores Particulars 2022 2021 Profit Before Tax . ............................................................................................................................................. 9,361.77 5,347.73 Applicable Income Tax rate............................................................................................................................. 25.17% 25.17% Expected Income Tax expense......................................................................................................................... 2,356.17 1,345.92 Tax effect of adjustments to reconcile expected income tax expense to reported income tax expense: Effect of different tax rates in local and foreign tax jurisdictions.............................................................. (51.70) (90.82) Effect of income exempt from tax / non taxable on compliance of conditions........................................ (454.69) (394.89) Effect of income chargeable at specified tax rates....................................................................................... (142.06) — Effect of expenses/provisions that is non-deductible in determining taxable profit................................. 109.66 220.93 Unrecognised tax losses of previous year used to reduce current tax expense......................................... (4.57) (73.65) Effect of unused tax losses & tax offsets for which no deferred tax asset has been recognised. ........... 265.44 660.46 Effect of (recognition)/ utilisation of deferred tax on capital losses (net)................................................. 14.23 (83.80) Write down/reversal of Deferred tax assets. ................................................................................................. 16.31 87.68 Effect of net additional / (reversal) of provision in respect of prior years ................................................ 7.40 (21.88) Others ............................................................................................................................................................... (7.43) (4.14) Income tax expense recognised in consolidated statement of profit and loss ......................................... 2,108.76 1,645.81 d) Amounts on which deferred tax asset has not been created and related expiry period Deferred tax assets have not been recognised in respect of following items, because it is not probable that future taxable profit will be available against which the Group can use the benefit therefrom. Rupees crores Particulars 2022 2021 Deductible Temporary differences (no expiry date)...................................................................................... 895.84 933.47 Unused tax losses (revenue in nature)........................................................................................................... 6,922.80 6,454.48 Unused tax losses (capital in nature).............................................................................................................. 2.72 2.76 Unused tax credits............................................................................................................................................ 15.08 15.08 Total ................................................................................................................................................................... 7,836.44 7,405.79 e) Unused Tax losses - Revenue in nature Rupees crores Particulars 2022 2021 Expiry period Up to Five Years. .............................................................................................................................................. 735.69 1,015.30 More than Five Years....................................................................................................................................... 496.49 1,009.10 No Expiry Date.................................................................................................................................................. 5,690.62 4,430.08 Total ................................................................................................................................................................... 6,922.80 6,454.48 f) Unused Tax losses - Capital in nature Rupees crores Particulars 2022 2021 Expiry period Up to five years................................................................................................................................................ 2.72 2.76 Total ................................................................................................................................................................... 2.72 2.76 13. Current Tax and Deferred Tax (contd.)