Current Tax

Current tax is determined on taxable profits for the year chargeable to tax in accordance with the applicable tax rates
and the provisions of the Income Tax Act, 1961 including other applicable tax laws that have been enacted or
substantively enacted.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefit, in the form
of adjustment to future tax liability, is considered as an asset in the Balance Sheet. The carrying amount of MAT is
reviewed at each reporting date and the asset would be written down to the extent the Group’s right of adjustment
would lapse.

Deferred Tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the
financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities
are generally recognised for all taxable temporary differences. Deferred tax assets are generally recognised for all
deductible temporary differences to the extent that it is probable that taxable profits will be available against which
those deductible temporary differences can be utilised. Such deferred tax assets and liabilities are not recognised if the
temporary difference arises from the initial recognition (other than in a business combination) of assets and liabilities
ina transaction that affects neither the taxable profit nor the accounting profit.

Deferred tax asset is recognised for the carryforward of unused tax losses and unused tax credits to the extent that it is
probable that future taxable profit will be available against which the unused tax losses and unused tax credits can be
utilised.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent
that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be
recovered.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the
liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively
enacted by the end of the reporting period.

The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from
the manner in which the Group expects, at the end of the reporting period, to recover or settle the carrying amount of
its assets and liabilities

B.19 SEGMENT REPORTING

The Chief Operating Decision Maker (CODM) evaluates the Group's performance and allocates resources based on an
analysis of various performance indicators of the reportable segments. The Group’s reportable segments have been
identified based on end consumption of the products sold or services rendered. The reportable segments are as
follows:

+ Automotive- Powertrain & Others : This segment develops, manufactures, sells its goods and services of
powertrain & other products to manufacturers of commercial / passenger vehicles, farm equipment, construction /
mining equipment.

» Automotive- Aluminium Products: This segment develops, manufactures, sells its goods and services consisting of
aluminium automotive products to the manufacturers of two wheelers, passenger vehicles and commercial vehicles.

¢ Industrial & Engineering: This segment develops, manufactures, sells its goods and services such as castings, gears,
material handling equipment, railway products, special purpose machines, other general engineering products
(together broadly termed as "High End Sub-assembly, Contract Manufacturing & Others" )and storage products to
various end user industries.

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