Interfront Annual Report 2022

PART E: FINANCIAL INFORMATION 95 International Frontier Technologies SOC Ltd Trading as Interfront Financial Statements for the year ended 31 March 2022 1.15 Translation of Foreign Currencies (continued) Exchange differences arising from the settlement of monetary items or on translating monetary items from initial recognition are recognised in surplus or deficit in the period in which they arise. Cash flows arising from transactions in a foreign currency are recorded in rands by applying to the foreign currency amount the exchange rate between the rand and the foreign currency at the date of the cash flow. 1.16 Related Parties Management comprises those persons responsible for planning, directing and controlling the activities of the entity, including those charged with the governance of the entity in accordance with legislation, in instances where they are required to perform such functions. Close members of the family of a person are those family members who may be expected to influence, or be influenced by that person in their dealings with the entity. The entity is exempt from disclosure requirements in relation to related party transactions if that transaction occurs within normal supplier and/or client/recipient relationships, on terms and conditions no more or less favourable than those which it is reasonable to expect the entity to have adopted if dealing with that individual entity or person in the same circumstances and terms and conditions are within the normal operating parameters established by that reporting entity’s legal mandate. Where the entity is exempt from the disclosures in accordance with the above, the entity discloses narrative information about the nature of the transactions and the related outstanding balances. The purpose of this is to enable users of the entity’s financial statements to understand the effect of related party transactions on its financial statements. 2. Changes in Accounting Policy The Annual Financial Statements have been prepared in accordance with the Standards of Generally Recognised Accounting Practice on a basis consistent with the prior year. The entity has not adopted any new policies in the current financial year. 3. Statutory Receivables - Income Tax Figures in Rand 2022 2021 Balance at the beginning of the year 366 590 980 971 Current tax for the year recognised in surplus or deficit (576 510) 356 977 Balance at the end of the year 1 115 (366 590) (208 805) 971 358 NOTES TO THE FINANCIAL STATEMENTS