Income Tax Department Issues Order and Notice to Brainbees ESOP Trust Regarding Share Issuance
Brainbees Solutions Limited has stated that the Brainbees ESOP Trust, a controlled trust of the company, received an Order under sub-section (3) of Section 148A of the Income Tax Act, 1961, along with a Notice under Section 148 of the Income Tax Act, 1961 from the Income Tax Department for the Assessment Year (A.Y.) 2022-23.The Order and Notice, dated June 30, 2026, concerns the issuance of shares to the Trust for subsequent grant to employees of Brainbees Solutions Limited or its subsidiaries. The IT Department proposed assessing or reassessing this share issuance or recomputing any allowance or deduction for A.Y. 2022-23 under the view that income chargeable to tax has escaped assessment, as defined by Section 147 of the Income Tax Act, 1961.
The Trust indicated that it believes no income chargeable to tax has escaped the assessment and possesses a strong case on merit. The Trust is currently evaluating appropriate legal remedies in relation to the Order and Notice and retains recourse to such measures as may be considered necessary. No demand order concerning this matter has been issued by the IT Department at this stage, meaning the financial impact cannot yet be determined.
The dispute centers on the issuance of 1,03,62,254 shares to the ESOP Trust. The Income Tax Department is seeking reassessment based on the face value of Rs. 5 per share against the fair market value of the shares at the time of issuance.
Key details regarding the dispute are summarized below:
| Particulars | Details |
|---|---|
| Opposing Agency | Income Tax Department, Pune (IT Department) |
| Assessment Year | 2022-23 |
| Quantum of Shares Subject to Dispute | 1,03,62,254 shares |
| Stated Issue Price | Rs. 5 per share (Face Value) |
Brainbees Solutions Limited affirmed that it has consistently maintained high standards of integrity and corporate governance in all aspects of its operations, including the prompt payment of taxes.
FIRSTCRY Stock Price Movement
Today, Brainbees Solutions Limited shares gained 2.19% to close at ₹227.61 after trading in the post-market session. The stock saw a traded volume of 5.92 million shares during the day's movement.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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