Onward Technologies Penalized by Income Tax Department Over Past Financial Year Claims
Onward Technologies Limited has received an order from the Income Tax Department imposing a penalty of ₹10,59,664/- related to financial year 2019-20. The action was taken under Section 270A of the Income-tax Act, 1961.The order imposing the fine was received by the company on July 31, 2026, and relates to a reassessment of declared income for FY 2019-20. The penalty stems from the disallowance of certain expenses and a taxation relief claim, citing a retrospective change in taxation law and interpretation of law.
The details concerning the tax action are as follows:
| Particulars | Details |
|---|---|
| Name of Authority | Income Tax Department |
| Nature of Action Taken | Order imposing penalty under Section 270A of the Income-tax Act, 1961 |
| Date of Receipt of Order | July 31, 2026 |
| Violation/Contravention Details | Penalty imposed regarding disallowance of expenses and taxation relief claim for FY 2019-20 due to changes in tax law interpretation. |
The penalty resulting from this tax action carries a financial impact quantified at ₹10,59,664/- on the company’s finances. Despite this charge, the company stated that there is no material impact regarding its operations.
Onward Technologies Limited maintains the recourse to file an appeal against the order received from the Income Tax Department dated July 28, 2026.
ONWARDTEC Stock Price Movement
Shares of Onward Technologies Limited shed 1.5% in post-market trading today, with the stock settling at ₹283.10 after dropping ₹4.30. The decline occurred as the stock closed amid a traded volume of 12,143 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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