Suven Life Sciences Receives Rectification Order from Income Tax Department for FY 2020-21
Suven Life Sciences Limited has reported receiving a rectification order from the Income Tax Department pertaining to the assessment year 2020-21.The directive was received via email communication on May 28, 2026, from the Income Tax Department in Kondapur, Hyderabad. The order issued is a rectification order under Section 154 of the Income Tax Act.
The core issue relates to the weighted deduction claimed under Section 35 (2AB) concerning expenditures incurred by the company on Research & Development (R&D) activities. The department disallowed the deduction because the necessary approval from the Department of Scientific and Industrial and Research (DSIR) in Form No. 3CL was reportedly missing, which had been detailed in an order passed under Section 143(3) of the Act.
The company noted that it had previously submitted a detailed reply to the Assessing Officer (AO/Authority) outlining reasons to drop the notice, considering both legal aspects and the merits of the case. However, the order under Section 154 was passed by the Authority despite the contentions raised by the company.
The key details regarding the order are summarized below:
| Detail | Description |
|---|---|
| Authority | Income Tax Department, Kondapur, Hyderabad |
| Order Type | Rectification order u/s 154 of Income Tax Act |
| Date of Receipt | Email communication dated May 28, 2026 |
| Violation/Contention | Disallowance of weighted deduction claimed U/s. 35 (2AB) for R&D expenditure, due to lack of DSIR approval (Form No. 3CL). |
Despite the order, Suven Life Sciences Limited stated that the company is preferring an appeal to the appellate authority against the directive. Management also affirmed that it does not foresee any material impact from this rectification order on the financial standing, operations, or other activities of the company.
SUVEN Stock Price Movement
Today, Suven Life Sciences Limited shares edged higher, closing at ₹279.34, marking a strong gain of 4.81%. The stock traded on a volume of 2.30 million shares today, settling within an intraday range of ₹269.76 to ₹291.34.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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