ANNEXURE TO THE STATEMENT OF SPECIAL TAX BENEFITS AVAILABLE TO GO FASHION
(INDIA) LIMITED (“THE COMPANY”) AND THE COMPANY’S SHAREHOLDERS

The information provided below sets out the possible special tax benefits available to the Company, and the
shareholders of the Company in a summary manner only and is not a complete analysis or listing of all potential
tax consequences of the subscription, ownership and disposal of equity shares of the Company, under the current
tax /laws presently in force. Several of these benefits are dependent on the shareholders fulfilling the conditions
prescribed under the relevant tax laws. Hence the ability of the shareholders to derive the tax benefits is dependent
upon fulfilling such conditions, which, based on commercial imperatives a shareholder faces, may or may not
choose to fulfill. The following overview is not exhaustive or comprehensive and is not intended to be a substitute
for professional advice. In view of the individual nature of the tax consequences and the changing tax laws, each
investor is advised to consult their own tax consultant with respect to specific tax implications arising out of their
participation in the issue. We are neither suggesting nor are we advising the investor to invest money or not to
invest money based on this statement. The statement below covers only relevant special direct and indirect tax
law benefits and does not cover benefits under any other law.

INVESTORS ARE ADVISED TO CONSULT THEIR OWN TAX CONSULTANT WITH RESPECT TO
THE TAX IMPLICATIONS AND CONSEQUENCES OF PURCHASING, OWNING AND DISPOSING
OF EQUITY SHARES IN THEIR PARTICULAR SITUATION.

STATEMENT OF POSSIBLE SPECIAL DIRECT TAX BENEFITS AVAILABLE TO THE COMPANY,
AND TO THE SHAREHOLDERS OF THE COMPANY

Under the Income Tax Act, 1961 (the Act)
I. Special tax benefits available to the Company

A. Section 115BAA, as inserted vide The Taxation Laws (Amendment) Act, 2019, provides that domestic
company can opt for a rate of 22% (plus applicable surcharge and education cess) for the financial year
2019-20 onwards, provided the total income of the company is computed without claiming certain
specified deductions or set-off of losses, depreciation etc., and claiming depreciation determined in the
prescribed manner. In case a company opts for section 115BAA, provisions of Minimum Alternate Tax
would not be applicable and earlier year MAT credit will not be available for set —off. The options needs
to be exercised on or before the due date of filing the income tax return. Option once exercised, cannot
be subsequently withdrawn for the same or any other tax year. Further, if the conditions mentioned in
section 115BAA are not satisfied in any year, the option exercised shall become invalid in respect of
such year and subsequent years, and the other provisions of the Act shall apply as if the option under
section 115BAA had not been exercised.

The company has represented to us that they have opted section 115BAA of the Act for the Assessment
Year 2020-21

B. Deductions from Gross Total Income
Deduction in respect of employment of new employees:

Subject to the fulfillment of prescribed conditions, the Company is entitled to claim deduction of an
amount equal to thirty per cent of additional employee cost (relating to specified category of employees)
incurred in the course of business in the previous year, for three assessment years including the
assessment year relevant to the previous year in which such employment is provided under section
80JJAA of the Act.

Deduction in respect of inter-corporate dividends — Section 80M of the Act

Up to 31 March 2020, any dividend paid to a shareholder by a company was liable to Dividend
Distribution Tax (“DDT”), and the recipient shareholder was exempt from tax. Pursuant to the
amendment made by the Finance Act, 2020, DDT stands abolished and dividend received by a
shareholder on or after 1‘ April 2020 is liable to tax in the hands of the shareholder, other than dividend
on which tax under section 115-O has been paid. The company is required to deduct Tax at Source

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