Company: WIT
Filing Date: 2025-05-22
Form Type: 20-F
Source: 0000950170-25-076303
Chunk: 231

Company: WIPRO LTD
Filing Date: 2025-05-22
Form: 20-F
Item: Item 18
Chunk 231
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Special Economic Zone re-investment reserve                             (7,820   )                                                         4,335                                 -                                                      -                                                    -                        (3,485   )
Undistributed earnings of subsidiaries                                       -                                                            (2,941   )                             -                                                      -                                                  (60   )                    (3,001   )
Others                                                   94                          78                                                                                          -                                                      -                                                  (28   )   144                        
Deferred tax liabilities, net                            ₹             (15,650   )   ₹                                                     2,628       ₹                         128                           ₹                        (566                     )   ₹                    (422   )   ₹               (13,882   )

Deferred taxes on unrealized foreign exchange gain / loss relating to cash flow hedges, fair value movements in investments and remeasurements of the defined benefit plans are recognized in other comprehensive income. Deferred tax liability on the intangible assets identified and carry forward losses on acquisitions is recorded by an adjustment to goodwill. Other than these, the change in deferred tax assets and liabilities is primarily recorded in the consolidated statement of income.

In assessing the realizability of deferred tax assets, the Company considers the extent to which it is probable that the deferred tax asset will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable profits during the periods in which those temporary differences and tax loss carry-forwards become deductible. The Company considers the expected reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based on this, the Company believes that it is probable that the Company will realize the benefits of these deductible differences. The amount of deferred tax asset considered realizable, however, could be reduced in the near term if the estimates of future taxable income during the carry-forward period are reduced.

Deferred tax asset amounting to ₹ 10,676 and ₹ 10,816 as at March 31, 2024 and 2025, respectively in respect of unused tax losses have not been recognized by the Company. The tax loss carry-forwards of ₹ 43,785 and ₹ 44,274 as at March 31, 2024 and 2025, respectively, on which deferred tax asset has not been recognized by the Company, because it is probable that future taxable profits will not be available against which the unused tax losses can be utilized in the foreseeable future. Approximately, ₹ 40,409, and ₹ 40,292 as at March 31, 2024 and 2025, respectively, of these tax