Calculate the amount of Tax made to be added to net profits before tax and extraordinary items for the year ended March 31'2023:

Balance Sheet (Extract)

Additional Information:

Tax paid during the year 2022-23 was Rs1,20,000.

₹90,000

The correct answer is Option (4) → 90,000.

Provision for tax in  2022 = 110000
Provision for tax in  2023 = 80000
Decrease in short term provision = 30000

Tax paid during the year = 120000
Less: Decrease in short term provision = 30000
Tax to be added = 90000