ITAT Grants Relief in Tax Litigation for DCM Shriram Limited, Affecting AY 2022-23
DCM Shriram Limited has received a significant order from the Income-tax Appellate Tribunal (ITAT), New Delhi, concerning material tax litigation for Assessment Year (AY) 2022-23. The ITAT’s decision provides relief on the matter previously brought before the tribunal.The company reported the outcome of the proceedings which relate to an Order issued under Section 143(3) read with Section 144C(13).
According to the details of the ITAT order:
| Detail | Amount (Rs./Crs.) |
|---|---|
| Tax effect of additions made by AO (A) | 178.24 |
| Tax effect of the Relief Granted (B) | (172.82) |
| Tax effect of matters referred back to AO (C = A - B) | 5.42 |
In addition to granting this relief, the ITAT also directed the Assessing Officer (AO) to correct computational errors regarding the tax matter. Specifically, the Tribunal mandated the proper set off and grant of brought forward MAT Credit.
This ruling comes in light of a previous demand that had been raised by the AO. The AO had initially issued an order under Section 143(3) read with Section 144C(13) on October 31, 2025, amounting to Rs. 249.27 Crore. This demand was previously stayed by the ITAT vide an order dated February 13, 2026.
DCM Shriram Limited will now file an application before the AO to ensure that the directions of the ITAT are implemented. The objective of this filing is to secure an order from the AO that gives due effect to the Tribunal’s decision and deletes the outstanding demand of Rs. 249.27 crore.
The company confirmed that there have been no material developments regarding litigation involving key management personnel, promoters, or ultimate person in control.
DCMSHRIRAM Stock Price Movement
On Friday, DCM Shriram Limited saw its stock gain 0.64%, settling at ₹1025.9 after closing up by ₹6.50. The equity concluded the day trading within a narrow range of ₹1020 to ₹1045, with a total volume recorded of 46,262 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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