Tivoli Construction Ltd. कंपली की लेखा नीति

Mar 31, 2024

Note 1: Corporate Information:

TIVOLI CONSTRUCTION LTD (the "Company"), is a public limited company incorporated in India
and has its registered office situated at 4^th Floor, Raheja Chambers, Linking Road and Main
Avenue, Santacruz (West), Mumbai 400 054.

The Company is primarily engaged in the business of construction.

Note 2: Basis of Preparation, Critical Accounting Estimates and Judgements, Material
Accounting Policies and Recent Accounting Pronouncements:

(i) Compliance with IND AS

These standalone financial statements have .been prepared in accordance with the Indian
Accounting Standard (hereinafter referred to as the ''Ind AS'') as prescribed under Section 133 of
the Companies Act, 2013 (the ''Act'') read with the Companies (Indian Accounting Standards)
Rules, 2015 as amended, and other relevant provisions of the Act.

(ii) Basis of preparation

(a) These standalone financial statements have been prepared on a historical cost convention,
on the accrual basis of accounting. The accounting policies have been applied consistently
over all the periods presented in financial statements.

(b) Historical cost is generally based on the fair value of the consideration given in exchange for
goods and services. Fair value is the price that would be received to sell an asset or paid to
transfer a liability in an orderly transaction between market participants at the
measurement date.

(c) Current Assets do not include elements which are not expected to be reajised within 1 year
and Current Liabilities do not include items which are due after 1 year, the period of 1 year
being reckoned from the reporting date.

(iii) Critical accounting estimates and judgements

The preparation of these standalone financial statements in conformity with the recognition and
measurement principles of Ind AS requires management to make judgements, estimates and
assumptions, that affect the reported balances of assets and liabilities, disclosures relating to
contingent liabilities as at the date of the financial statements and the reported amounts of
income and expenses for the years presented. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to
accounting estimates are recognised in the period in which the estimates are revised and in any
future periods affected.

In particular, information about significant areas of estimation, uncertainty and critical
judgments in applying accounting policies that have the most significant effect on the amounts
recognized in the financial statements pertain to:

(a) Impairment testing: The recoverable amount of cash generating units is higher of value-
in-use and fair value less cost to sell. The calculation involves use of significant estimates
_r—and assumptions which include turnover and earnings multiples, growth rates and net
margins used to calculate projected future cash flows, risk-adjusted discount rate, .and.
l^irftl^^Kre economic and market conditions. ,/ ‘ i

(b) Income Taxes: Deferred tax assets are recognized to the extent that it is regarded as
probable that deductible temporary differences can be realized. The Company''estimates
deferred tax assets and liabilities based on current tax laws and rates and in certain cases,
business plans, including management''s expectations regarding the manner and timing of
recovery of the related assets. Changes in these estimates may affect the amount of
deferred tax liabilities or the valuation of deferred tax assets and thereby the tax charges in
the Statement of Profit or Loss.

Provision for tax liabilities require judgements on the interpretation of tax legislation,
developments in case law and the potential outcomes of tax audits and appeals which may
be subject to significant uncertainty. Therefore the actual results may vary from
expectations resulting in adjustments to provisions, the valuation of deferred tax assets,
cash tax settlements and therefore the tax charge in the Statement of Profit or Loss.

(iv) Material Accounting Policies:

(a) Revenue recognition:

(i) Income from operations

Revenue from operations is accounted on-accrual, is net of indirect taxes, returns and
discounts. Revenue is measured at the fair value of the consideration received or receivable.

(ii) Interest:

Interest income is accrued on a time proportion basis using the effective interest rate
method.

(iii) Dividend Income:

Dividend income is recorded when the right to receive payment is established.

(b) Investments in subsidiaries

Investment in a subsidiary is a long-term investment and is carried at cost.

(c) Taxation

(i) Provision for current taxation has been made in accordance with the Income Tax laws
applicable to the assessment year.

(ii) Deferred tax is recognized on timing difference being the difference between taxable
incomes and accounting income that originates in one period and is capable of reversal
in one or more subsequent periods. Where there is unabsorbed depreciation, or carry
forward losses, deferred tax assets are recognised only if there is virtual certainty of
realisation of such assets.

(iii) Minimum Alternate Tax ("MAT") credit is recognised as an asset only when and to the
extent there is convincing evidence that the Company will pay normal income tax during
the specified period. Such asset is reviewed at each balance sheet date and the carrying
amount is written down to the extent there is no longer a convincing evidence that the
Company will be liable to pay normal income tax during the specified period.

(d) Impairment of assets

The carrying amounts of assets are reviewed at each balance sheet date, to assess any
indication of impairment. If any such indication exists, the recoverable amount of such assets is
estimated. An impairment loss is recognized wherever the carrying amount of the assets
exceeds its recoverable amount. The recoverable amount is greater of the net selling price or
value in use. In assessing value in use, the estimated future cash flows are discounted to their
present value, based on an appropriate discounting factor. ___

_ ¦ . . ( V,'' . '' -v

jig^j-^^eviously recognized impairment loss is increased or reversed depending on changes-in^-" /•-* "
^—^urostances. ¦'' '' -

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Mar 31, 2014

1.01 Use of estimates

The preparation of financial statement in conformity with the generally accepted accounting principles requires estimates and assumptions to be made that affect the reported amounts of the assets and liabilities on the date of financial statements and the reported amounts of revenues and expenses during the reporting period. Difference between actual results and estimates are recognized in the period in which the results get materialized.

1.02 Investments

Investments that are readily realizable and intended to be held for not more than a year are classified as current investments. All other investments are classified as long - term investments.

Current investments are carried at lower of cost and fair value determined on an individual investment basis. Long term investments are carried at cost. Diminution in value, other than temporary, is recognised in the accounts.

Profit / loss on sale of investments are computed with reference to the average cost of investment.

1.03 Revenue recognition

The Company follows the mercantile system of accounting and recognizes income and expenditure on an accrual basis except in case of significant uncertainties about ultimate realization of revenue.

1.04 Corporate information

Tivoli Construction Limited is a public company domiciled in India and incorporated under the provisions of the Companies Act, 1956. The company is engaged in the business of construction.

1.05 Basis of preparation

These financial statements have been prepared in accordance with the generally accepted accounting principles in India, on the basis of going concern under the historical cost convention and also on accrual basts. These financial statements comply, in all material aspects, with the provisions of the Companies Act, 1956 and the Companies Act, 2013 (to the extent applicable) and also accounting standards prescribed by the Companies (Accounting Standards) Rules, 2006, which continue to be applicable in respect of Section 133 of the Companies Act, 2013 in terms of General Circular 15/2013 dated September 13, 2013 of the Ministry of Corporate Affairs.

All assets and liabilities have been classified as current or non-current as per the Company''s normal operating cycle and other criteria set out in the Revised Schedule VI to the Companies Act, 1956 notified by MCA vide its notification no. 447(E) dated February 28, 2011. Based on the nature of products and the time between the acquisition of assets for processing and their realisation in cash and cash equivalents, the Company has ascertained its operating cycle as 12 months for the purpose of current - non current classification of assets and liabilities.

The accounting policies adopted in the preparation of financial statements are consistent with those of previous year.

1.06 Use of estimates

The preparation of financial statement in conformity with the generally accepted accounting principles requires estimates and assumptions to be made that affect the reported amounts of the assets and liabilities on the date of financial statements and the reported amounts of revenues and expenses during the reporting period. Difference between actual results and estimates are recognized in the period in which the results get materialized.

1.07 Investments

Investments that are readily realizable and intended to be held for not more than a year are classified as current investments. All other investments are classified as long - term investments.

Current investments are carried at lower of cost and fair value determined on an individual investment basis. Long term investments are carried at cost. Diminution in value, other than temporary, is recognised in the accounts.

Profit / loss on sale of investments are computed with reference to the average cost of investment.

1.08 Revenue recognition

The Company follows the mercantile system of accounting and recognizes income and expenditure on an accrual basis except in case of significant uncertainties about ultimate realization of revenue.

The Company has not received intimation from any ''Enterprise'' regarding its status under Micro Small and Medium Enterprise Development Act, 2006 (the Act) and therefore no disclosure under the said Act is considered necessary

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Mar 31, 2010

The Companys accounting policies are as follows:

a) Method of accounting:

The accounts are prepared on the basis of Going Concern Concept and under the historical cost convention. The Company adopts accrual basis in preparation of its accounts to comply in all material aspects with applicable accounting principles in India, the Accounting Standards notified vide Companies (Accounting Standards) Rules, 2006 and the relevant provisions of the Companies Act, 1956.

b) Use of estimates:

The preparation of financial statement in conformity with the generally accepted accounting principles requires estimates and assumptions to be made that affect the reported amounts of the assets and liabilities on the date of financial statements and the reported amounts of revenues and expenses during the reporting period. Difference between actual results and estimates are recognized in the period in which the results get materialized.

c) Investments:

Long term Investments are stated at cost. Provision for diminution in value of investments is made, if such diminution is of permanent nature in the opinion of the management. Earning from investments is taken into revenue on accrual.

d) Revenue Recognition

The Company follows the mercantile system of accounting and recognizes income and expenditure on an accrual basis except in case of significant uncertainties about ultimate realization of revenue.

e) Provisions & Contingent liabilities:

Provision is recognized when an enterprise has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are not discounted to its present value and are determined based on management estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current management estimates.

Contingent liabilities are disclosed when the Company has possible obligation or a present obligation and it is probable that a cash outflow will not be required to settle the obligation.

f) Taxation:

i Provision for Current Tax is made on the basis of taxable profits computed for the current accounting period in accordance with the Income Tax Act, 1961.

ii Deferred Tax is calculated at the tax rates and laws that have been enacted or substantively enacted as of the Balance Sheet date and is recognized on timing differences that originate in one period and are capable of reversal in one or more subsequent periods. Deferred Tax Assets, subject to consideration of prudence, are recognized and carried forward only to the extent that they can be realized.

g) Earnings Per Share

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to equity shareholders by number of equity shares outstanding during the period.