Sedemac Mechatronics Ltd. Receives Penalty Order from Income Tax Department
Sedemac Mechatronics Ltd. announced on March 25, 2026, that it received an order from the Assessment Unit, National Faceless Assessment Centre, Income Tax department, imposing a penalty of INR 74,93,508. The order pertains to the financial year 2017-18 (assessment year 2018-19) and concerns a disallowance of weighted deduction related to expenditure incurred on an in-house R&D Unit.The Income Tax Authority issued the order under Section 270A of the Income Tax Act, 1961, and communicated it to the company via email on March 24, 2026.
According to the company, it will file an appeal against the order before the appropriate appellate authority and anticipates a favorable outcome. Sedemac Mechatronics Ltd. does not expect the order to have a material financial impact.
Table: Details of Penalty Order
| Sr. No. | Details of the order | Information of the event |
|---|---|---|
| 1 | Name of the authority | Assessment Unit, National Faceless Assessment Centre, Income Tax Department, Ministry of Finance, Government of India |
| 2 | Nature of the order | Order under Section 270A of the Income Tax Act, 1961 |
| 3 | Date of receipt | E-mail received on March 24, 2026, at 5.04 pm IST. |
| 4 | Details of the violation | Disallowance of weighted deduction in relation to expenditure incurred on an in-house R&D Unit, despite the matter pending before the Bombay High Court. |
| 5 | Impact on financial activities | The company does not expect a material financial impact. |
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