Accounting Policies of Vani Commercials Ltd. Company

Mar 31, 2025

This note provides a list of the significant accounting policies
adopted in the preparation of these financial statements. These
policies have been consistently applied to all the years presented,
unless otherwise stated.

3.1 Income

(i) Interest Income

The Company recognizes interest income using
Effective Interest Rate (EIR) on all financial assets
subsequently measured at amortized cost or fair
value through other comprehensive income
(FVOCI). EIR is calculated by considering all costs
and incomes attributable to acquisition of a
financial asset or assumption of a financial liability
and it represents a rate that exactly discounts
estimated future cash payments/receipts through
the expected life of the financial asset/financial
liability to the gross carrying amount of a financial
asset or to the amortized cost of a financial liability.

Interest on financial assets subsequently
measured at fair value through profit or loss
(FVTPL) is recognized at the contractual rate of
interest.

(ii) Dividend Income

Dividend income on equity shares is recognized
when the Company''s right to receive the payment
is established, which is generally when
shareholders approve the dividend. During the
year the Company has not received any income
from dividend.

3.2 Expenditures

(i) Finance costs

Borrowing costs on financial liabilities are
recognized using the Effective Interest Rate (EIR).

3.3 Cash and cash equivalents

Cash and cash equivalents include cash on hand, other
short term, highly liquid investments with original
maturities of three months or less that are readily
convertible to known amounts of cash and which are
subject to an insignificant risk of changes in value.

Cash Flow Statement

Cash flows are reported using the indirect method,
whereby profit for the period is adjusted for the effects of
transactions of a non-cash nature, any deferrals or
accruals of past or future operating cash receipts or
payments and item of income or expenses associated with
investing or financing cash flows. The cash flows from
operating, investing and financing activities of the
Company are segregated.

3.4 Financial Assets

Financial assets include cash, or an equity instrument of
another entity, or a contractual right to receive cash or
another financial asset from another entity. Few examples
of financial assets are loan receivables, investment in
equity and debt instruments, trade receivables, cash and
cash equivalents

All Financial assets are recognized initially at fair value
plus, in the case of financial assets not recognised at fair
value through profit and loss, transaction costs that are
attributable to the acquisition of the financial asset.
Financial assets are subsequently measured at amortised
cost using effective interest rate method (EIR)

3.5 Financial Liabilities

Financial liabilities include liabilities that represent a
contractual obligation to deliver cash or another financial
assets to another entity, or a contract that may or will be
settled in the entities own equity instruments. Few
examples of financial liabilities are trade payables, debt
securities and other borrowings and subordinated debts.

3.6 Taxes

(i) Current Tax

Current tax assets and liabilities are measured at
the amount expected to be recovered from or paid
to the taxation authorities, in accordance with the
Income Tax Act, 1961 and the Income
Computation and Disclosure Standards (ICDS)
prescribed therein. The tax rates and tax laws
used to compute the amount are those that are
enacted or substantively enacted, at the reporting
date.

(ii) Deferred Tax

Deferred tax is provided using the Balance Sheet
approach on temporary differences between the
tax bases of assets and liabilities and their
carrying amounts for financial reporting purposes
at the reporting date.

Deferred tax liabilities are recognized for all
taxable temporary differences and deferred tax
assets are recognized for deductible temporary
differences to the extent that it is probable that
taxable profits will be available against which the
deductible temporary differences can be utilized.

The carrying amount of deferred tax assets is
reviewed at each reporting date and reduced to
the extent that it is no longer probable that
sufficient taxable profit will be available to allow all
or part of the deferred tax asset to be utilized.
Unrecognized deferred tax assets, if any, are
reassessed at each reporting date and are
recognized to the extent that it has become
probable that future taxable profits will allow the
deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at
the tax rates that are expected to apply in the year
when the asset is realized or the liability is settled,
based on tax rates (and tax laws) that have been
enacted or substantively enacted at the reporting
date.

Deferred tax assets and deferred tax liabilities are
offset if a legally enforceable right exists to set off
current tax assets against current tax liabilities
and the deferred taxes relate to the same taxable
entity and the same taxation authority.

3.7 Property, Plant and Equipment

Property, plant and equipment are carried at historical cost
of acquisition less accumulated depreciation and
impairment losses, consistent with the criteria specified in
Ind AS 16 ''Property, Plant and Equipment''.

---

Mar 31, 2024

3. Summary of Significant Accounting Policies

This note provides a list of the significant accounting policies
adopted in the preparation of these financial statements. These
policies have been consistently applied to all the years presented,
unless otherwise stated.

3.1 Income

(i) Interest Income

The company and its subsidiary recognises
interest income using Effective Interest Rate (EIR)
on all financial assets subsequently measured at
amortised cost or fair value through other
comprehensive income (FVOCI). EIR is
calculated by considering all costs and incomes
attributable to acquisition of a financial asset or
assumption of a financial liability and it represents
a rate that exactly discounts estimated future cash
payments/receipts through the expected life of the
financial asset/financial liability to the gross
carrying amount of a financial asset or to the
amortised cost of a financial liability.

Interest on financial assets subsequently
measured at fair value through profit or loss
(FVTPL) is recognised at the contractual rate of
interest.

(ii) Dividend Income

Dividend income on equity shares is recognised
when the company and its subsidiary''s right to
receive the payment is established, which is
generally when shareholders approve the
dividend. During the year the company and its
subsidiary has not received any income from
dividend.

3.2 Expenditures

(i) Finance costs

Borrowing costs on financial liabilities are
recognized using the Effective Interest Rate
(EIR).

3.3 Cash and cash equivalents

Cash and cash equivalents include cash on hand, other
short term, highly liquid investments with original
maturities of three months or less that are readily
convertible to known amounts of cash and which are
subject to an insignificant risk of changes in value.

Cash Flow Statement

Cash flows are reported using the indirect method,
whereby profit for the period is adjusted for the effects of
transactions of a non-cash nature, any deferrals or
accruals of past or future operating cash receipts or
payments and item of income or expenses associated with
investing or financing cash flows. The cash flows from
operating, investing and financing activities of the
Company are segregated.

3.4 Financial Assets

Financial assets include cash, or an equity instrument of
another entity, or a contractual right to receive cash or
another financial asset from another entity. Few examples
of financial assets are loan receivables, investment in
equity and debt instruments, trade receivables, cash and
cash equivalents

All Financial assets are recognized initially at fair value
plus, in the case of financial assets not recognised at fair
value through profit and loss, transaction costs that are
attributable to the acquisition of the financial asset.
Financial assets are subsequently measured at amortised
cost using effective interest rate method (EIR)

3.5 Financial Liabilities

Financial liabilities include liabilities that represent a
contractual obligation to deliver cash or another financial
assets to another entity, or a contract that may or will be
settled in the entities own equity instruments. Few
examples of financial liabilities are trade payables, debt
securities and other borrowings and subordinated debts.

3.6 Taxes

(i) Current Tax

Current tax assets and liabilities are measured at
the amount expected to be recovered from or paid
to the taxation authorities, in accordance with the
Income Tax Act, 1961 and the Income
Computation and Disclosure Standards (ICDS)
prescribed therein. The tax rates and tax laws
used to compute the amount are those that are
enacted or substantively enacted, at the reporting
date.

(ii) Deferred Tax

Deferred tax is provided using the Balance Sheet
approach on temporary differences between the
tax bases of assets and liabilities and their
carrying amounts for financial reporting purposes
at the reporting date.

Deferred tax liabilities are recognised for all
taxable temporary differences and deferred tax
assets are recognized for deductible temporary
differences to the extent that it is probable that
taxable profits will be available against which the
deductible temporary differences can be utilised.

The carrying amount of deferred tax assets is
reviewed at each reporting date and reduced to
the extent that it is no longer probable that
sufficient taxable profit will be available to allow all
or part of the deferred tax asset to be utilised.
Unrecognized deferred tax assets, if any, are
reassessed at each reporting date and are
recognised to the extent that it has become
probable that future taxable profits will allow the
deferred tax asset to be recovered.

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

Deferred tax assets and deferred tax liabilities are
offset if a legally enforceable right exists to set off
current tax assets against current tax liabilities and
the deferred taxes relate to the same taxable entity
and the same taxation authority.

3.7 Property, Plant and Equipment

Property, plant and equipment are carried at historical cost
of acquisition less accumulated depreciation and
impairment losses, consistent with the criteria specified in
Ind AS 16 ''Property, Plant and Equipment''.

---

Mar 31, 2015

1.1 Corporate Information

The company is registered with Reserve Bank of India. The Reserve Bank of India has issued the certificate of Registration to the company as Non Banking Financial Company.

1.2 Basis of preparation

The accompanying financial statements are prepared and presented under the historical cost convention, on the accrual basis of accounting and comply with the Accounting Standards prescribed by the Companies (Accounting Standards) Rules, 2006 and the relevant provisions of the Companies Act, 1956 to the extent applicable. The Financial statements are presented in Indian Rupees.

1.3 Use of estimates:

The preparation of the financial statements in conformity with the generally accepted accounting Principles requires the management to make estimates and assumptions that affect the reported amount of assets, liabilities, revenues and expenses and disclosure of contingent liabilities on the date of the financial statement. Actual results would differ from the estimates. Any revision to accounting estimates is recognized prospectively in current and future periods.

1.4 Inventories

Inventories are valued at cost or net realizable value which-ever is lower. Net realizable value is the estimated selling price in the ordinary course of business less estimated cost necessary to make sale.

1.5 Revenue recognition:

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured.

i. Sale of Securities : Revenue is recognized when the significant risks and rewards of ownership of the goods have passed to the buyer.

ii. Interest : Revenue is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable. In case of Non Performing Assets, Interest Income is recognized on receipt basis, as per NBFC Prudential norms.

iii. Dividend : Revenue is recognized when the shareholders right to receive payment is established by the balance sheet date.

1.6 Investments

Investments are classified into long-term investments and short-term investments. Investments, which are intended to be held for one year or more, are classified as long-term investments and investments, which are intended to be held for less than one year, are classified as current investments. Long Term Investments & Short Term Investments are carried at cost. No provisions for diminution has been made as in the opinion of the management the diminution are temporary in nature.

1.7 Foreign Currency Transaction

The company has not dealt with any foreign currency transaction during the period under audit.

1.8 Retirement and Other Employee benefits

a. Provident Fund :

Provision of Provident Fund is not applicable to the company.

b. Gratuity:

No provision for gratuity has been made as there is no amount due towards Gratuity payable.

c. Compensated absences:

Unutilized leave of staff lapses as at the year end and is not encashable. Accordingly, no provision is made for compensated absences.

1.9 Income Tax

Tax expense comprises of current, deferred tax, Current Income Tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961 enacted in India. Deferred Income taxes reflects the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years.

1.10 There is no Contingent Liabilities against the company.

1.11 In the opinion of Directors, current assets, loans and advances have the value at which they are stated in the Balance Sheet, if realized in the ordinary course of the business.

1.12 Compliance with Accounting Standards

(i) Related Party Transaction(s)

During the financial year, the Company has entered into transaction with related parties on arms length basis.

S. Name of the Nature of the Relation Outstanding No. Company Transaction Balance

1. M/s Stien Long Term Loan Mukesh Rs.3,200,000 Impex Private Kumar Limited Sukhija Director

(ii) As per Accounting Standard 22 on accounting for taxes on Income issued by Institute of Chartered Accountants of India, the Company has duly made the provisions of deferred tax during the year.

1.13 Earning Per Share

Basic & Diluted EPS is 0.06

Basic earning per equity share has been computed by dividing net profit after tax by the weighted average number of equity shares outstanding during the period. There are no potential equity shares outstanding and as such the Diluted earning per share is same as basic earning per share.

1.14 Amortisation of Preliminary Expenses

The Preliminary Expenses are amortised over a period of 5 years in equal instalment as per the provision of Section 35B of the Income Tax Act, 1961. The fees paid to the Bombay Stock Exchange for the Direct Listing of the Securities of the Company has been categorized as Preliminary Expenses and will be amortised over a period of 5 years

---

Mar 31, 2014

1.1 Corporate Information

The company is registered with Reserve Bank of India. The Reserve Bank of India has issued the certificate of Registration to the company as Non Banking Financial Company.

1.2 Basis of preparation

The accompanying financial statements are prepared and presented under the historical cost convention, on the accrual basis of accounting and comply with the Accounting Standards prescribed by the Companies (Accounting Standards) Rules, 2006 and the relevant provisions of the Companies Act, 1956 to the extent applicable. The Financial statements are presented in Indian Rupees.

1.3 Use of estimates

The preparation of the financial statements in conformity with the generally accepted accounting Principles requires the management to make estimates and assumptions that affect the reported amount of assets, liabilities, revenues and expenses and disclosure of contingent liabilities on the date of the financial statement. Actual results would differ from the estimates. Any revision to accounting estimates is recognized prospectively in current and future periods.

1.4 Inventories

Inventories are valued at cost or net realizable value which-ever is lower. Net realizable value is the estimated selling price in the ordinary course of business less estimated cost necessary to make sale.

1.5 Revenue recognition:

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. i. Sale of Securities : Revenue is recognized when the significant risks and rewards of ownership of the goods have passed to the buyer. ii. Interest : Revenue is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable. In case of Non Performing Assets, Interest Income is recognized on receipt basis, as per NBFC Prudential norms. iii. Dividend : Revenue is recognized when the shareholders right to receive payment is established by the balance sheet date.

1.6 Investments

Investments are classified into long-term investments and short-term investments. Investments, which are intended to be held for one year or more, are classified as long-term investments and investments, which are intended to be held for less than one year, are classified as current investments. Long Term Investments & Short Term Investments are carried at cost. No provisions for diminution has been made as in the opinion of the management the diminution are temporary in nature.

1.7 Foreign Currency Transaction

The company has not dealt with any foreign currency transaction during the period under audit.

1.8 Retirement and Other Employee benefits a Provident Fund :

Provision of Provident Fund is not applicable to the company.

b. Gratuity:

No provision for gratuity has been made as there is no amount due towards Gratuity payable.

c. Compensated absences:

Unutilized leave of staff lapses as at the year end and is not encashable. Accordingly, no provision is made for compensated absences.

1.8 Income Tax

Tax expense comprises of current, deferred tax, Current Income Tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961 enacted in India. Deferred Income taxes reflects the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years.

1.9 There is no Contingent Liabilities against the company.

---

Mar 31, 2013

A Method of Accounting :

The Financial Statements are prepared in accordance with the historical cost convention & applicable standards and recognise the Income & Expenditure on accrual basis except those with significant uncertainty.

b Loans & Advances :

Loans & Advances are stated at the value which in the opinion of the Board of Directors are realisable during the ordinary course of business.

c Accounting of taxes on income

Provision for current tax is made, based on the tax payable under the Income Tax Act, 1961.

d Amortisation of Preliminary Expenses :

The Preliminary Expenses amortised over a period of 5 years in equal installment as per the provision of Section 35B of the Income Tax Act, 1961.

---

Mar 31, 2012

A Method of Accounting :

The Financial Statements are prepared in accordance with the historical cost convention & applicable standards and recognise the Income & Expenditure on accrual basis except those with significant uncertainty.

b Loans & Advances :

Loans & Advances are stated at the value which in the opinion of the Board of Directors are realisable during the ordinary course of business.

c Accounting of taxes on income

Provision for current tax is made, based on the tax payable under the Income Tax Act, 1961.

d Amortisation of Preliminary Expenses :

The Preliminary Expenses amortised over a period of 5 years in equal installment as per the provision of Section 35B of the Income Tax Act, 1961.

---

Mar 31, 2011

A Method of Accounting :

The Financial Statements are prepared in accordance with the historical cost convention & applicable standards and recognise the Income & Expenditure on accrual basis except those with significant uncertainty.

b Loans & Advances :

Loans & Advances are stated at the value which in the opinion of the Board of Directors are realisable during the ordinary course of business.

c Accounting of taxes on income

Provision for current tax is made, based on the tax payable under the Income Tax Act, 1961.

d Amortisation of Preliminary Expenses :

The Preliminary Expenses amortised over a period of 5 years in equal installment as per the provision of Section 35B of the Income Tax Act, 1961.