I. Provision for Current and Deferred Tax

Provision for current tax liability of the company is estimated considering the provisions of the Income Tax Act, 1961.

Deferred tax resulting from timing difference between book and taxable profit is accounted for using the tax rates and laws that have been enacted or substantively enacted on the balance sheet date. The deferred tax liability is recognized and carried forwarded.

J. Treatment of Contingent Liabilities

Provisions are recognized for liabilities that can be measured only by using a substantial degree of estimation, if.

a) The company has a present obligation as a result of past event;

b) a probable outflow of resources is expected to settle the obligation; and

c) The amount of obligation can be reliably estimated.

Contingent liability is disclosed in case of

a) a present obligation arising from past events, when it is not probable that an outflow of resources will be required to settle the obligation;

b) a present obligation arising from past events, when no reliable estimate is possible; and

c) a possible obligation arising from past events where the probability of outflow of resources is not remote.

Contingent assets are neither recognize nor disclosed. Provisions, contingent liabilities and contingent assets are reviewed at each balance Sheet date.

K. Borrowing Cost:

A qualifying asset is an asset that requires a substantial period of time to get ready for its intended use. All other borrowing costs are recognized as an expense in the period in which they are incurred.

L. Impairment of Assets:

The Company assesses at each reporting date as to whether there is any indication that an asset (tangible and intangible) may be impaired. An asset is treated as impaired, when the carrying cost of the asset exceeds its recoverable amount. Recoverable amount is higher of an asset's or cash generating unit's net selling price and its value in use. Value in use is the present value of estimated future cash flows expected to arise from the continuing use of an asset and from its disposal at the end of its useful life.

An impairment loss is charged to Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognized in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

The company has merged operation carried out at branches to the main unit at Baroda, Gujarat to save administrative costs. The company has applied for surrender of GST registration numbers granted to Branches at Rajasthan and Uttrakhand. All Balances of all branches transferred to head office and closed the books of branches. The stock held with branches are reported under Purchase of stock-in-trade account.

NOTE - 47:

During the year, the company has deposited Rs. 0.50 Lakh as guarantee deposit for court case ongoing on company for misbrand of product and the deposit is considered under deposits. (Reference note no. 34)

NOTE - 48:

The company has recognized deposit received from dealer as long-term deposits under other long-term liabilities NOTE - 49 - NOTE ON GST:

Balance shown in Cash/Credit Ledger (GST Input and GST Output account) under the head Loans & Advances may not necessarily reconcile with the GSTR-3B, GSTR 1 and GSTR 2A returns filled by the Company and the Suppliers of the Company. The same are subject to reconciliation and rectification, whenever necessary and shall be finalized at the time of filling GST Annual Return by the Company. The current GST Input credit/GST output liabilities are stated based on the books of accounts maintained by the Company. Financial Impact on account of such reconciliation/rectification shall be quantified and accounted for only at the time of the GST Annual return GSTR-9 of the Company.

NOTE - 50:

The Company has made Direct Export i.e., Bill to ship to model in which the goods are not physically arrived in Indian territory and directly transferred to buyer's county from sellers' country, this transaction is not covered under supply definition under section 7 of Goods and Service Tax Act, 2017 and the same has been not considered under GST Turnover for the year.

NOTE - 51:

The company has paid VAT deposit of Rs. 6.30 Lakh for filling appeal for FY 2017-18. The amount has paid as deposit and hence not deducted from contingent liability.

NOTE - 52:

Interest Subsidy receivable:- The Industry Policy 2020 scheme for assistance to Micro, Small & Medium Enterprise interest subsidy scheme, has become operational since 07/08/2020. The scheme has been introduced by the Government of Gujarat to facilitate ease of doing business for the MSME sector in state of Gujarat. This scheme provides assistance for interest subsidy @ 5% on term loan with maximum amount of ? 25 lakhs per annum for a period of 5 years, the company after receiving the formal sanction from the Competent authorities have calculated eligible interest subsidy receivable for the interest paid and the same is accounted for the year under the head Interest subsidy receivables account.

Previous year's figures have been regrouped / reclassified, where necessary, to confirm to current year's presentation.

As per our attached Report of even date FOR ARISTO BIO-TECH AND LIFESCIENCE LIMITED

FOR PRAKASH CHANDRA JAIN & CO.

CHARTERED ACCOUNTANTS NARENDRA SINGH BARHAT KETANKUMAR H JOSHI

(CHAIRMAN & MANAGING DIRECTOR) (WHOLETIME DIRECTOR & CFO) CA DINESH C JAIN (dIN-00310306) (DIN: 02089127)

B.Com. FCA, FAFD

MEMBERSHIP No.: 041235 KUSUM BARHAT AYUSHI DEORA

FRN No.: 0002438C (DIRECTOR) (COMPANY SECRETARY)

UDIN : 24041235BKACCG2875 (dIN: 00310065) (m.No. ACS-70433)

DATE : 27/35/2024 PLACE : Vadodara

DATE : 27/5/2024