Income Tax Demand Reduced to Nil for United Foodbrands Limited Following Rectification Order
United Foodbrands Limited, formerly known as Barbeque-Nation Hospitality Limited, announced a significant development regarding its income tax assessment for the Assessment Year 2023-24. The company confirmed that the income tax demand and interest previously levied by the Deputy Commissioner of Income Tax in Bengaluru have been reduced to nil following the issuance of a Rectification Order on June 16, 2026.The rectification concerns an Assessment Order passed under Section 143(3) and a Notice of Demand issued under Section 156 of the Income Tax Act, 1961, related to the Assessment Year 2023-24. As a result of the Rectification Order, United Foodbrands Limited is no longer liable for the tax or interest that was previously demanded by the authority.
The material details regarding this communication received from the regulatory authority are summarized below:
| Particulars | Details |
|---|---|
| Company Name | United Foodbrands Limited (Formerly known as Barbeque-Nation Hospitality Limited) |
| Type of Communication | Rectification Order to the Assessment Order and Notice of Demand under Section 156 of the Income Tax Act, 1961. |
| Date of Receipt | June 16, 2026 |
| Authority | Deputy Commissioner of Income Tax, Bengaluru |
| Financial Implication (Immediate) | Nil |
The original income tax demand and interest that had been assessed have been reduced to nil, resulting in no liability for the company concerning that specific demand.
While the initial assessment demand has been rectified, United Foodbrands Limited is currently pursuing further legal recourse regarding a related addition made by the Assessing Officer. The company is in the process of filing an appeal against an addition amounting to ₹2.78 crores, which was made pursuant to a transfer pricing adjustment under Section 92CA(3) of the Income Tax Act, 1961.
No penalty or restriction has been imposed by the authority concerning the rectification order and its contents.
UFBL Stock Price Movement
Today, United Foodbrands Limited shed value in post-market trading, closing at ₹593.2 after settling down 4.01%. The equity saw heavy action throughout the session, completing the day within a range of ₹586.3 to ₹625.05 on a volume of 259,668 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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