XML 42 R33.htm IDEA: XBRL DOCUMENT
v3.25.2

Income taxes | 12 Months Ended
--- | ---
Mar. 31, 2025
Income taxes | 23. Income taxes Income tax expense is comprised of the following:
|  | Fiscal year ended March 31, |
|  | 2023 |  |  | 2024 |  |  | 2025 |  |  | 2025 |
|  | (In millions) |
Current tax expense |  | Rs. | 156,782.9 |  |  | Rs. | 140,308.9 |  |  | Rs. | 199,251.5 |  |  | US$ | 2,332.3 |
Deferred tax expense/ (benefit) |  |  | 12,280.9 |  |  |  | (57,133.2 | ) |  |  | (15,613.6 | ) |  |  | (182.8 | )
Interest on income tax refund |  |  | (2,946.4 | ) |  |  | (5,348.6 | ) |  |  | (8,623.0 | ) |  |  | (100.9 | )
Income tax expense |  | Rs. | 166,117.4 |  |  | Rs. | 77,827.1 |  |  | Rs. | 175,014.9 |  |  | US$ | 2,048.6 |
Income tax (expense)/ benefit recorded in other comprehensive income was Rs. 16,980.0 million , Rs. (17,828.6) million and Rs. (41,283.1) million (US$ (483.2)) million for the fiscal years ended March 31, 2023, March 31, 2024 and March 31, 2025, respectively. Income before income tax expense and income tax expense are substantially all from India. A reconciliation of taxes at the Indian statutory income tax rate, the income tax rate of the Bank’s country of domicile, to income tax expense as reported is as follows:
|  | Fiscal year ended March 31, |
|  | 2023 |  |  | 2024 |  |  | 2025 |  |  | 2025 |
|  | (In millions) |
Income before income tax expense |  | Rs. | 662,381.8 |  |  | Rs. | 705,459.0 |  |  |  | Rs. 861,546.2 |  |  | US$ | 10,084.5 |
Statutory income tax rate |  |  | 25.17 | % |  |  | 25.17 | % |  |  | 25.17 | % |  |  | 25.17 | %
Expected income tax expense |  |  | 166,708.3 |  |  |  | 177,549.9 |  |  |  | 216,833.8 |  |  |  | 2,538.1 |
Adjustments to reconcile expected income tax to actual tax expense |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest on income tax refund |  |  | (2,204.9 | ) |  |  | (4,125.0 | ) |  |  | (6,452.8 | ) |  |  | (75.5 | )
Stock-based compensation |  |  | 1,645.9 |  |  |  | (10,645.6 | ) |  |  | 1,427.1 |  |  |  | 16.7 |
Income subject to rates other than the statutory income tax rate |  |  | (6.8 | ) |  |  | (1,262.0 | ) |  |  | (910.8 | ) |  |  | (10.7 | )
Remeasurement of deferred taxes for investment in subsidiaries and affiliates |  |  | — |  |  |  | — |  |  |  | (11,503.2 | ) |  |  | (134.6 | )
Special reserve deduction |  |  | — |  |  |  | (5,143.2 | ) |  |  | (8,053.7 | ) |  |  | (94.3 | )
Unrecognized tax benefit of earlier years including consequential tax credit pursuant to favourable orders received recognised |  |  | — |  |  |  | (80,874.4 | ) |  |  | (16,515.6 | ) |  |  | (193.3 | )
Other, net |  |  | (25.1 | ) |  |  | 2,327.4 |  |  |  | 190.1 |  |  |  | 2.2 |
Income tax expense |  | Rs. | 166,117.4 |  |  | Rs. | 77,827.1 |  |  |  | Rs. 175,014.9 |  |  | US$ | 2,048.6 |
The tax effects of significant temporary differences are as follows:
|  | As of March 31, |
|  | 2024 |  |  | 2025 |  |  | 2025 |
|  | (In millions) |
Tax effect of: |  |  |  |  |  |  |  |  |  |  |  |
Deductible temporary differences: |  |  |  |  |  |  |  |  |  |  |  |
Allowance for credit losses |  | Rs. | 43,093.6 |  |  | Rs. | 69,769.8 |  |  | US$ | 816.7 |
Investments |  |  | 7,704.7 |  |  |  | 235.4 |  |  |  | 2.8 |
Lease liabilities |  |  | 32,034.7 |  |  |  | 37,099.8 |  |  |  | 434.3 |
Undistributed policyholders earnings account |  |  | — |  |  |  | 32,960.6 |  |  |  | 385.8 |
Employee benefits |  |  | 4,632.2 |  |  |  | 4,062.2 |  |  |  | 47.6 |
Borrowings |  |  | 10,714.9 |  |  |  | 10,468.3 |  |  |  | 122.5 |
Stock based compensation |  |  | 20,166.2 |  |  |  | 19,009.0 |  |  |  | 222.5 |
Others |  |  | 320.1 |  |  |  | 734.9 |  |  |  | 8.6 |
Deferred tax asset |  |  | 118,666.4 |  |  |  | 174,340.0 |  |  |  | 2,040.8 |
Taxable temporary differences: |  |  |  |  |  |  |  |  |  |  |  |
ROU Asset |  |  | 32,009.3 |  |  |  | 37,087.5 |  |  |  | 434.1 |
Property, plant and equipments |  |  | — |  |  |  | 5,795.7 |  |  |  | 67.8 |
Loan origination cost |  |  | 7,541.1 |  |  |  | 9,992.1 |  |  |  | 117.0 |
Intangible assets |  |  | 313,272.2 |  |  |  | 306,920.5 |  |  |  | 3,592.7 |
Investments |  |  | 53,998.2 |  |  |  | 92,614.8 |  |  |  | 1,084.1 |
Liabilities on policies in force |  |  | — |  |  |  | 26,315.8 |  |  |  | 308.0 |
Others |  |  | — |  |  |  | 9,438.9 |  |  |  | 110.5 |
Deferred tax liability |  |  | 406,820.8 |  |  |  | 488,165.3 |  |  |  | 5,714.2 |
Net deferred tax asset/ (liability) |  | Rs. | (288,154.4 | ) |  | Rs. | (313,825.3 | ) |  | US$ | (3,673.4 | )
Management believes that the realization of the recognized deferred tax assets is more likely than not and the realization is based on a combination of reversing taxable temporary differences and expectations as to future income before Income tax expense. On the proposed sale of Bank’s stake in HDBFSL a deferred tax liability has been recognized. The total unrecognized tax benefit as of March 31, 2024 and March 31, 2025 is Rs. 22,042.3 million and Rs. 6,717.3 million (US$ 78.6 million), respectively. The major income tax jurisdiction for the Bank is India. The open tax years (first assessment by the taxing authorities) are pending from fiscal year 2019 onwards. However, appeals filed by the Bank are pending with various local tax authorities in India for earlier tax years. A reconciliation of the beginning and ending balance of unrecognized tax benefits is as follows:
|  | Fiscal year ended March 31, |
|  | 2023 |  |  | 2024 |  |  | 2025 |  |  | 2025 |
|  | (In millions) |
Opening balance |  | Rs. | 46,774.3 |  |  | Rs. | 48,792.1 |  |  | Rs. | 22,042.3 |  |  | US$ | 258.0 |
Increase related to acquisition of eHDFC |  |  | — |  |  |  | 52,980.5 |  |  |  | — |  |  |  | — |
Decrease related to prior year tax positions |  |  | — |  |  |  | (80,874.4 | ) |  |  | (16,515.6 | ) |  |  | (193.3 | )
Increase related to current year tax positions |  |  | 2,017.8 |  |  |  | 1,144.1 |  |  |  | 1,190.6 |  |  |  | 13.9 |
Closing balance |  | Rs. | 48,792.1 |  |  | Rs. | 22,042.3 |  |  | Rs. | 6,717.3 |  |  | US$ | 78.6 |
The Bank’s total unrecognized tax benefits, if recognized, would reduce the income tax expense by Rs. 22,042.3 million and Rs. 6,717.3 million (US$ 78.6 million) as of March 31, 2024 and March 31, 2025, respectively, and thereby would affect the Bank’s effective tax rate. All of the Bank’s unrecognized tax benefits are presented as unrecognized refund claims. Significant changes in the amount of unrecognized tax benefits within the next 12 months cannot be reasonably estimated as the changes would depend upon the progress of tax examinations with various tax authorities.

X
- Definition The entire disclosure for income tax. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12 Reference 2: http://www.xbrl.org/2003/role/exampleRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 231 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482663/740-10-55-231 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12C -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12C Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12B -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12B Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 270 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147477891/740-270-50-1 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SAB Topic 6.I.5.Q1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479360/740-10-S99-1 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 946 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480990/946-20-50-13 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/740/tableOfContent Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 14 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-14 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-21 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 17 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-17 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479360/740-10-S99-2 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482603/740-30-50-2 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration