The Ministry of Corporate Affairs (MCA) last day notified the Government Companies for which the provisions of Accounting Standard 22 or Indian Accounting Standard 12 relating to deferred tax asset or deferred tax liability are not applicable.
As per the Notification, the provisions would not be applicable to the following Government Companies for seven years with effect from the 1st April 2017;
(a) a public financial institution under sub-clause (iv) of clause (72) of section 2 of the Companies Act, 2013;
(b) a Non-Banking Financial Company registered with the Reserve Bank of India under section 45-IA of the Reserve bank of India Act, 1934; and
(c) a Company engaged in the business of infrastructure finance leasing with not less than seventy-five per cent. of its total revenue being generated from such business with Government companies or other entities owned or controlled by Government.Subscribe Taxscan AdFree to view the Judgment