<h1>Samvardhana Motherson Subsidiary Fined by IRS for Delayed Filing</h1>
Samvardhana Motherson International Limited has disclosed that its indirect wholly owned subsidiary, SMP Automotive Systems Alabama Inc., was penalized by the Internal Revenue Service (IRS) of the United States. The penalty relates to a delay in filing required documentation for the previous fiscal year.
The IRS imposed a fine totaling USD 43,200, which is equivalent to INR 4.17 million. This action arose after SMP Alabama failed to file Form 8955-SSA, which pertains to the annual registration of separated participants with deferred vested benefits for the year ended December 31, 2024.
The penalty order was dated July 13, 2026, and was received by SMP Alabama on July 20, 2026.
The company stated that there is no material impact resulting from this fine on its financials or operations. Regarding the violation, management noted that the penalties were imposed due to a delay in filing Form 8955-SSA.
Details regarding the penalty and the underlying transaction are summarized below:
| Particulars | Details |
|---|---|
| Penalizing Authority | Internal Revenue Service (IRS) - USA |
| Subsidiary Involved | SMP Automotive Systems Alabama Inc. |
| Violation | Delay in filing Form 8955-SSA for the year ended December 31, 2024 |
| Penalty Amount | USD 43,200 (Equivalent to INR 4.17 million) |
Management noted that the order was under review by involved parties and the delay in filing was related to differences in time zones.
MOTHERSON Stock Price Movement
Samvardhana Motherson International Limited shares slipped on Wednesday, closing down 1.15% to settle at ₹143.60. The stock recorded a traded volume of 15.61 million 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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