The order, issued by the Deputy Commissioner of Income Tax, Central Circle 29, New Delhi, on February 25, 2025, was received by the company on February 27, 2025, through the IT portal. The demand has been raised under Section 143(3) read with Section 144C(3) of the Income-tax Act, 1961, citing adjustments related to Section 80IC/80IE and the disallowance of various expenditures under Section 37(1).
“The IT authority vide assessment order dated February 25, 2025 has raised additional tax demand (including interest) of INR 111.68 crores under section 143(3) read with Section 144C(3) of the Income-tax Act, 1961 (‘the Act’) on account of adjustment made u/s 80IC/80IE of the Act and disallowance of various expenditures u/s 37(1) of the Act,” Mankind Pharma said in a regulatory filing.
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Mankind Pharma has stated that it believes the demand is not legally tenable and that it has strong factual and legal grounds to contest the order. The company plans to appeal the assessment and does not expect any material impact on its financials or operations due to this notice.
“The company believe that the demand under the above-referred order is not tenable in law. The company has adequate factual and legal grounds to substantiate its position and does not expect any material impact on the financials or operations of the company due to the said order. The company would pursue an appeal against the said order under the applicable laws,” it added.
Shares of Mankind Pharma Ltd ended at ₹2,290.05, down by ₹3.85, or 0.17%, on the BSE.
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