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COMPANY PRESENTATION

PRESENTED TO: DR. ASHISH C. MEHTA PRESENTED BY: ANKUR BAROT (11F06) HITESH DOMADIA (11F17) PRASHANT GOUSWAMI (11F29)

ADANI PORTS AND SPECIAL ECONOMIC ZONE LTD.


Headquarter: Ahmadabad, Gujarat, India
Mundra Port & Special Economic Zone Limited in Kutch,
Gujarat over an area of 6472 hectares.

The letter of approval for acting as a co-developer of the said


SEZ has been granted by the Central Government on 27th February 2009. the Gateway Awards of Excellence Ports & Shipping 2012 in the Private Port of the Year category.

Being a co-developer of SEZ, the Company is entitled to certain special tax benefits.
A. Direct Taxes:Section 80-IAB Section 80-IA Section 115JB Section 32 B. Indirect Taxes:Section 26(1) Section 7 of the SEZ Act Section 21(1) of the Gujarat SEZ Act, 2004 Section 21(2) of the Gujarat SEZ Act 2004 Section 11(2) of Gujarat SEZ Act, 2004

Financial results for year ended on march 31,2012


Rs. In crores

Particulars
Tax benefits for Adani Port SEZ Paid up capital reserves EPS No. Of Shares

Amt.
288.68 Cr. 400.68 Cr. 4835 Cr. Rs.5.88 200.21 Cr.

Reliance Industries Limited(RIL)


New Delhi, May 14: Reliance Industries Ltd has got a tax benefit of Rs 376 crore, according to a report of the Comptroller and Auditor General of India. It

highlighted that there has been an underassessment of income of Rs 1364 crore


with short levy of tax. The report said the fact that the brought forward loss of Rs 1364 crore of Reliance Petroleum Ltd had been fully set off in the revised assessment order of July 2004 had not been taken into account while making the assessment of Reliance Industries in March 2005. Reliance Petroleum was merged with Reliance Industries in April 2001. According to CAG, while giving effect to an appellate order in July 2004, the

taxable income of the merging company was re-determined at nil after setting off
future assessments. The companys income was determined at Rs 476 crore for the year 2002-03.

It may be noted that CAG reports are tabled in Parliament and the concerned ministries are required to inform the house on their plan of actions following these observations. In this case, the finance ministry would have to take suitable action. Apart from Reliance Industries, big names like Hindustan Coca Cola Beverages and the public sector Bank of Baroda, too, are in for some embarrassment. The CAG report points out that while Coca

Cola got a benefit of about Rs 47 crore, Bank of Baroda got a


benefit of Rs 189 crore due to underassessment of income

Infosys Technologies Ltd.


Bangalore :The tax benefits extended to all
software technology parks (STPs) of Infosys have expired, and now the only incentive available for the country's second-largest IT services exporter is with the special economic zones (SEZs) even as its income tax rate is rising every year.

In a filing with the US Securities and Exchange Commission


(SEC) , Infosys said, During the fiscal 2011, one of our STP units was under tax holiday. Since the Finance Act, 2011, has not extended the tax holiday for STP units beyond March 31, 2011, the tax benefits

for the unit have expired. All of our STP units are now
taxable. The government through the Finance Act, 2009, had extended the tax holiday for STP units until March 31, 2011.

Currently, Infosys has operational SEZs in eight locations across India.

Now under the SEZ scheme, software units are eligible for a
deduction of 100% of profits derived from the export of software or services for the first five years from

commencement and 50% of such profits or gains for a further five years. (sec.10A)

COMPARATIVE FINANCIAL RESULTS OF INFOSYS (Rs. in crores) TECHNOLOGIES LIMITED


March 2010 March 2011 March 2012

Operating Income
Profit Before Taxes Tax Expenses Profit After Tax

(a)
(b) (c)

21140
7424 1717 5707

25385
8782 2378 6404 9.37 2634.6 256.6

31254
11015 3110 7905 9.95 3304.5 194.5

Tax expense as % of sales d=(c/a*100) 8.12 Actual Tax Payable without Tax planning e=(b*30.9%) 2227.2 510.2

Tax Benefit with tax planning (e-c)

As per the filing, Infosys said its effective tax rate for fiscal 2012, 2011 and 2010 was 28.8%, 26.7% and 21.3%, respectively. The increase in the effective tax rate to 28.8% for fiscal 2012 was mainly due to the expiration of the tax holiday period for our STP units and movement of one of our SEZ units from the 100% tax exempt category to the 50% tax exempt category due to completion of its

first five years of operations and increase in taxes on non-operating


income, it said. The income tax expense as percentage of revenue for Infosys has

been steadily increasing over the last couple of years. For financial
year 2011-12, it stood at 9.95%, while in 2010-11 fiscal it was 9.37% and 8.12% in 2009-10.

However, Infosys is likely to pay more income tax as the minimum alternative tax (MAT) has been extended to SEZs. It

also said that With the growth of our business in SEZ units,
we may be required to compute our tax liability under MAT in future years