CG Power and Industrial Solutions Faces Revisionary Tax Assessment Order for AY 2022-23
CG Power and Industrial Solutions Limited has reported receiving a revisionary order from the Income Tax Department concerning its assessment for the year 2022-23.The company noted that the original assessment order for AY 2022-23 had been received on February 28, 2024, which had initially raised a tax demand of Rs. 188,78,91,580/-. Following subsequent filings, the company had informed that it had moved an application for a stay of demand before the Assessing Officer on May 2, 2024. The Assistant Commissioner of Income Tax (ACIT) subsequently passed an order, requiring the company to deposit Rs. 4,89,38,029/- while staying the remaining demand until the disposal of the appeal before the CIT(A).
The recent development involves the company receiving a fresh assessment order through revisionary proceedings. The Assessing Officer has made an additional disallowance amounting to Rs. 21,43,17,440/- on account of the set-off of unabsorbed depreciation loss.
CG Power and Industrial Solutions Limited stated that the company is currently evaluating the terms of the new order and plans to take appropriate legal steps, including filing an appeal.
The key financial details regarding the litigation are summarized below:
| Particulars | Assessment Year | Amount (Rs.) | Details |
|---|---|---|---|
| Initial Tax Demand Raised | 2022-23 | 188,78,91,580/- | Original Assessment Order |
| Amount Deposited (Stay Order) | N/A | 4,89,38,029/- | Deposit required by ACIT |
| Additional Disallowance (Revisionary Order) | 2022-23 | 21,43,17,440/- | Set-off of unabsorbed depreciation loss |
The company believes it has a fair chance of succeeding in the matter and is in the process of filing an appeal against the addition/disallowance made in the revised assessment order.
CGPOWER Stock Price Movement
Today, CG Power and Industrial Solutions Limited shares edged higher to close at ₹805.25, rallying 1.55% on a ₹12.30 jump. The stock saw robust trading volume with 3.65 million shares traded, and notably reached its 52-week high of ₹819.6.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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