Company: ZCARW
Filing Date: 2025-05-05
Form Type: S-1
Source: 0001213900-25-039778
Chunk: 377

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-05-05
Form: S-1
Chunk 377
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 valuation allowance |       | $ |   1,313,423 |   |     | $ |     869,260 |   |
| Deferred                               
 tax liabilities:                       |       |   |             |   |     |   |             |   |
| Right of use assets                    |       |   |    (322,652 | ) |     |   |    (440,418 | ) |
| Depreciation on property plant         
 and equipment and intangible assets    |       |   |    (361,674 | ) |     |   |    (342,678 | ) |
| Borrowings                             |       |   |    (629,097 | ) |     |   |           - |   |
| Others                                 |       |   |           - |   |     |   |     (86,164 | ) |
| Total                                  
 deferred tax liabilities               |       |   |  (1,313,423 | ) |     |   |    (869,260 | ) |
| Net                                    
 deferred tax assets                    |       | $ |           - |   |     | $ |           - |   |

In assessing the realization of the deferred tax assets, management considers whether it is more likely than not that some portion of all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which temporary differences representing net future deductible amounts become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. After consideration of all of the information available, management believes that significant uncertainty exists with respect to future realization of the deferred tax assets and has therefore established a full valuation allowance. For the year ended March 31, 2024, the change in the valuation allowance was $ 3,656,879

The Company has computed income tax expense/(benefit) for the years ended March 31, 2024 and March 31, 2023 by using a forecasted annual effective tax rate and adjust for any discrete items arising during the period. The Company has recorded $ NILtax expense for all of the periods. Our effective tax rate was 0.00% and 0.00% for the years ended March 31, 2024 and 2023, respectively. The effective tax rate differs from the statutory tax rate of 21% for the years ended March 31, 2024 and 2023