12A Deferred tax assets (net)


	As at March 31,
	2024		2025		2025
	(INR)		(INR)		(USD)
Deferred tax assets (gross)
Compound financial instruments		3,113		3,466		41
Mark to market of derivative instruments		78		151		2
Difference in written down value of PPE as per books of account and tax laws		358		70		1
Unamortised ancillary borrowing cost		1		1		0
Provision for decommissioning costs		811		592		7
Expected credit losses		53		182		2
Losses and unabsorbed depreciation available for offsetting against future taxable income		18,828		23,926		280
Unused tax credit (Minimum alternate tax)		167		292		3
Lease liabilities		377		666		8
Others		432		175		2
Deferred tax assets (gross) - Total (a)		24,218		29,521		346

Deferred tax liabilities (gross)
Mark to market of derivative instruments		37		667		8
Difference in written down value of PPE as per books of account and tax laws		17,923		20,906		245
Unamortised ancillary borrowing cost		142		99		1
Right of use asset		522		712		8
Others		38		64		1
Deferred tax liabilities (gross) - Total (b)		18,662		22,448		263

Deferred tax assets (net) (a) - (b)		5,556		7,073		83

12B Deferred tax liabilities (net)


	As at March 31,
	2024		2025		2025
	(INR)		(INR)		(USD)
Deferred tax liabilities (gross)
Compound financial instruments		217		195		2
Mark to market of derivative instruments		842		797		9
Difference in written down value of PPE as per books of account and tax laws		60,518		68,256		799
Unamortised ancillary borrowing cost		182		168		2
Right of use asset		653		561		7
Others		43		66		1
Deferred tax liabilities (gross) - Total (c)		62,455		70,043		820

Deferred tax assets (gross)
Mark to market of derivative instruments		30		14		0
Unamortised ancillary borrowing cost		5		9		0
Provision for decommissioning costs		1,715		1,685		20
Expected credit losses		370		399		5
Losses and unabsorbed depreciation available for offsetting against future taxable income		37,168		39,487		462
Unused tax credit (Minimum alternate tax)		2,867		2,722		32
Lease liabilities		791		737		9
Government grant (viability gap funding)		453		355		4
Others		351		154		2
Deferred tax assets (gross) - Total (d)		43,750		45,562		533

Deferred tax liabilities (net) (c) - (d)		18,705		24,481		287

12C Reconciliation of tax expense and the accounting profit multiplied by tax rate


	For the year ended March 31,
	2023			2024			2025			2025
	(INR)			(INR)			(INR)			(USD)

Accounting profit / (loss) before income tax		(2,470	)		8,142			10,034			117

Tax at the India's tax rate of 25.168% applicable to RPL (March 31, 2024 and 2023: 31.2%)		(771	)		2,540			2,525			30
Disallowance (net of allowance) under section 94B of the Income Tax Act (1)		2,034			1,968			1,763			21
Tax rate differences		49			(115	)		(217	)		(3	)
Unabsorbed depreciation and business losses (1) (2)		1,090			1,000			694			8
Change in estimates for recoverability of Minimum alternate tax		(97	)		17			(53	)		(1	)
Adjustment of tax relating to earlier periods		231			(528	)		582			7
On account of adoption of new tax ordinance
- MAT credit written off		22			81			414			5
- Recognition / reversal of DTA/ DTL		(1	)		(2	)		(49	)		(1	)
Effect of tax holidays and other tax exemptions		(49	)		(288	)		(20	)		(0	)
Other non-deductible expenses		51			(678	)		(196	)		(2	)
Tax expense at the effective income tax rate		2,559			3,995			5,443			64

Current tax expense reported in the consolidated statement of profit or loss		966			981			1,514			18
Deferred tax expense reported in the consolidated statement of profit or loss		1,593			3,014			3,929			46
		2,559			3,995			5,443			64

Notes

(1) The Group has not recognised DTA in absence of reasonable certainty towards its realisation.

(2) The amount is net off by INR 2,030 (March 31, 2024: INR 1,064, March 31, 2023: INR 1,446) that represents previously unrecognised DTA which was recognised in the current year.

a) For the year ended March 31, 2023


Particulars	Opening balance DTA /(DTL) as at April 1, 2022			Income / (expense) recognised in profit or loss			Income / (expense) recognised in OCI			Income / (expense) recognised in equity		Acquisition of Non-controlling interest			Closing balance DTA / (DTL) as at March 31, 2023
Compound financial instruments		(12	)		85			—			2,631		(150	)		2,554
Gain / (loss) on mark to market of derivative instruments		463			(0	)		(895	)		—		—			(432	)
Difference in written down value as per books of account and tax laws		(62,551	)		(9,996	)		—			—		—			(72,547	)
Unamortised ancillary borrowing cost		(223	)		(87	)		—			—		—			(310	)
Provision for decommissioning cost		3,434			878			—			—		—			4,312
Expected credit losses		255			129			—			—		—			384
Fair value gain on financial instruments		(9	)		9			—			—		—			—
Unabsorbed depreciation available for offsetting against future taxable income		43,949			7,253			—			—		—			51,202
Tax losses available for offsetting against future taxable income		425			(346	)		607			—		—			686
Minimum alternate tax		1,892			484			—			—		—			2,376
Lease liabilities		654			70			—			—		—			724
Government grant (viability gap funding)		412			(7	)		—			—		—			405
Right of use asset		(672	)		(172	)		—			—		—			(844	)
Others		577			107			(3	)		—		—			681
		(11,406	)		(1,593	)		(291	)		2,631		(150	)		(10,809	)

b) For the year ended March 31, 2024


Particulars	Opening balance DTA /(DTL) as at April 1, 2023			Income / (expense) recognised in profit or loss			Income / (expense) recognised in OCI			Income / (expense) recognised in equity			Adjustment on account of sale of subsidiary			Closing balance DTA / (DTL) as at March 31, 2024
Compound financial instruments		2,554			380			—			(40	)		1			2,895
Gain / (loss) on mark to market of derivative instruments		(432	)		(268	)		(84	)		(275	)		287			(772	)
Difference in written down value as per books of account and tax laws		(72,547	)		(8,775	)		—			—			3,237			(78,085	)
Unamortised ancillary borrowing cost		(310	)		(10	)		—			—			1			(319	)
Provision for decommissioning cost		4,312			(1,750	)		—			—			(37	)		2,525
Expected credit losses		384			38			—			—			—			422
Unabsorbed depreciation available for offsetting against future taxable income		51,202			5,160			711			—			(3,126	)		53,947
Tax losses available for offsetting against future taxable income		686			1,364			—			—			—			2,050
Minimum alternate tax		2,376			658			—			—			—			3,034
Lease liabilities		724			534			—			—			(91	)		1,167
Government grant (viability gap funding)		405			47			—			—			—			452
Right of use asset		(844	)		(417	)		—			—			87			(1,174	)
Others		681			25			3			—			—			709
		(10,809	)		(3,014	)		630			(315	)		359			(13,149	)

c) For the year ended March 31, 2025


Particulars	Opening balance DTA /(DTL) as at April 1, 2024			Income / (expense) recognised in profit or loss			Income / (expense) recognised in OCI			Income / (expense) recognised in equity			Adjustment on account of sale of subsidiary			Closing balance DTA / (DTL) as at March 31, 2025
Compound financial instruments		2,895			407			—			(40	)		—			3,262
Gain / (loss) on mark to market of derivative instruments		(772	)		28			(32	)		(480	)		—			(1,256	)
Difference in written down value as per books of account and tax laws		(78,085	)		(13,428	)		—			—			2,463			(89,050	)
Unamortised ancillary borrowing cost		(319	)		63			—			—			—			(256	)
Provision for decommissioning cost		2,525			(234	)		—			—			(15	)		2,276
Expected credit losses		422			158			—			—			—			580
Unabsorbed depreciation available for offsetting against future taxable income		53,947			8,483			42			—			(2,256	)		60,216
Tax losses available for offsetting against future taxable income		2,050			1,111			—			—			—			3,161
Minimum alternate tax		3,034			(20	)		—			—			—			3,014
Lease liabilities		1,167			287			—			—			(52	)		1,402
Government grant (viability gap funding)		452			(98	)		—			—			—			354
Right of use asset		(1,174	)		(148	)		—			—			50			(1,272	)
Others		709			(535	)		(10	)		—			—			161
		(13,149	)		(3,929	)		0			(520	)		190			(17,408	)

The Group based on profit projections supported by existing PPAs and underlying contractual agreements believes that the utlisation of entire deferred tax assets is probable. All items of deferred tax assets have an infinite life except for those on tax losses and MAT which can be carried forward for a maximum period 8 years and 15 years, respectively, from the date of their origination. The Group based on its current profit projections expects to realise the deferred tax asset recognised on tax losses and MAT in their respective permissible carried forward periods. Additionally, the Group has performed sensitivities by reducing revenues and profits by 5% and noted that there was no material impact on recoverability of the recognised deferred tax assets.

The Group has tax losses amounting to INR 15,002 (March 31, 2024: INR 17,538; March 31, 2023: INR 9,052) having an expiry period of 1 to 8 years (March 31, 2024 and 2023: 1 to 8 years), unabsorbed depreciation amounting to INR 13 (March 31, 2024: INR 5,187; March 31, 2023: INR 5,917) which are available for utilisation indefinitely and MAT credit amounting to INR 16 (March 31, 2024: INR 229; March 31, 2023: INR 213) having an expiry period of 5 to 15 years (March 31, 2024: 8 to 15 years and March 31, 2023: 6 to 15 years) on which deferred tax assets have not been recognised as there may not be sufficient taxable profits to offset these losses.

Certain subsidiaries of the Group have undistributed earnings which, if paid out as dividends, would be subject to tax in the hands of recipient. An assessable temporary difference exists, but no deferred tax liability has been recognised as the Parent is able to control timing of distributions from these subsidiaries. The Parent is not expected to distribute these profits from the subsidiaries in the foreseeable future and no material tax charge is expected whenever distribution occurs.

12E There are additional disallowances / additions to returned income of RPL in earlier years on account of share based payment expenses, interest expense and few other disallowances.The management based on past legal precedents and the views of tax specialists believes that it has strong grounds on merit for successful appeal in this matter. The total exposure on the Group on account of such disallowances is INR 1,675 (March 31, 2024: INR 1,675) plus applicable interest till the settlement of such disputes. Further, the management based on past legal precedents and the views of tax specialists also believes that no penalty can be levied on such issue.