PGHH_AR_2020

Notes to Financial Statements for the year ended June 30, 2020 Annual Report 2019-20 109 Company Overview Board's Report MD&A CG Report Financial Statement Procter & Gamble Hygiene and Health Care Limited 26 Income tax expense 26.1 Income tax recognised in Statement of Profit and Loss Year ended June 30, 2020 Year ended June 30, 2019 ` in lakhs ` in lakhs Current tax In respect of the current year 15 670 22 185 In respect of prior years (366) (2 346) 15 304 19 839 Deferred tax In respect of the current year 775 (1 019) In respect of prior years ---- ---- 775 (1 019) Total income tax expense recognised in the current year 16 079 18 820 The income tax expense for the year can be reconciled to the accounting profit as follows: Year ended June 30, 2020 Year ended June 30, 2019 ` in lakhs ` in lakhs Profit before tax 59 387 60 733 Income tax expense calculated at 25.168% (2018 - 2019: 34.944%) 14 947 21 223 Effect of expenses that are not deductible in determining taxable profits 1 498 (57) 16 445 21 166 Adjustments recognised in the current year in relation to the current tax of prior years (366) (2 346) Income tax expense recognised in Statement of Profit and Loss 16 079 18 820 The tax rate used for 2019-20 is the corporate tax rate of 25.168%. The tax rate used for 2018-19 is a weighted average of the corporate tax rate of 34.944% applicable till March 31, 2019 and 25.168% applicable from April 1, 2019 under the Indian laws. 26.2 Income tax recognised in other comprehensive income Year ended June 30, 2020 Year ended June 30, 2019 ` in lakhs ` in lakhs Deferred tax Arising on expense recognised in other comprehensive income Remeasurement of defined benefit obligations (57) (359) (57) (359) Total income tax recognised in other comprehensive income not to be reclassified to Statement of Profit and Loss (57) (359)