Par Drugs and Chemicals Receives Intimation Order Under Income Tax Act; Company Initiates Rectification Process
Par Drugs and Chemicals Limited reported on May 21, 2026, that it received an Intimation Order from the Income Tax Department under Section 143(1) of the Income Tax Act, 1961. The order detailed certain additions and disallowances made to the company's taxable income.According to the company, the Intimation Order required additions/disallowances aggregating to Rs. 58,78,360/- to the taxable income. This resulted in an initial tax demand of Rs. 14,79,466/- and associated interest of Rs. 5,29,563/-, totaling a preliminary demand of Rs. 20,09,030/-.
The Intimation Order was downloaded by the company on May 21, 2026, at 12:15 PM.
In its assessment, the department added Rs. 32,00,000/- related to CSR expenditure and Rs. 26,78,360/- concerning provision for gratuity. Par Drugs and Chemicals Limited explained that these amounts had already been added back while computing the company's taxable income. The discrepancy arose due to an inadvertent clerical error during the filing of the Income Tax Return (ITR), where the specified amounts were incorrectly disclosed or disallowed under a wrong column or serial number.
| Financial Detail | Amount |
|---|---|
| Total Additions/Disallowances | Rs. 58,78,360/- |
| Tax Demand | Rs. 14,79,466/- |
| Interest Demand | Rs. 5,29,563/- |
| Total Aggregating Demand | Rs. 20,09,030/- |
The company stated that the Intimation Order is presently subject to rectification under Section 154 of the Income Tax Act, 1961. To address the inadvertent clerical error, the company will initiate the necessary rectification process. Upon the disposal of the rectification application, the tax demand is expected to be recomputed as NIL.
As of the date of this report, the company noted that there is no material impact on its financial, operational, or other activities quantifiable in monetary terms, pending the outcome of the rectification proceedings.
PAR Stock Price Movement
Par Drugs And Chemicals Limited shares today slipped by 1.27%, settling at ₹83.86 after a decline of ₹1.08. The stock recorded a total traded volume of 9,452 shares during the session.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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