Archean Chemical Industries Imposes Penalty of Rs 34,24,248 under Income Tax Act Section 270A
Archean Chemical Industries Limited has received a penalty order amounting to Rs 34,24,248 related to tax matters for the Assessment Year (AY) 2017-18. The order was issued by the Deputy Commissioner of Income Tax- Central Circle 1(4), Chennai, and was received by the company on June 30, 2026.The penalty proceeds from a proceeding concerning under-reported income, which was determined to be in consequence of misreporting thereof.
Management stated that Archean Chemical Industries Limited intends to contest the order by filing an appeal before the Commissioner of Income Tax (Appeals) within the prescribed timelines. Based on a preliminary assessment, the company is hopeful regarding a favorable outcome and does not reasonably expect the matter to have any material financial impact on the entity. The potential financial impact, should the demand be enforced, is limited to the accrued Income Tax and Interest.
Key details of the penalty order are summarized below:
| Particular | Details |
|---|---|
| Authority | Deputy Commissioner of Income Tax- Central Circle 1(4), Chennai |
| Order Nature | Penalty under section 274 read with section 270A of the Income Tax Act, 1961 |
| Penalty Amount | Rs. 34,24,248 for AY 2017-18 |
| Violation Detail | Penalty proceeding for under-reported income resulting from misreporting thereof |
The company confirmed that the penalty order and relevant details are being addressed through appeal proceedings.
ACI Stock Price Movement
Archean Chemical Industries Limited shares slipped by 0.82% on Wednesday to settle at ₹518.25, finishing the trading day lower. The stock traded within a range, hitting a low of ₹516.15 and registering a total volume of 83,118 shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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