Welspun Enterprises Subsidiary Receives Income Tax Demand Notice
Welspun Enterprises Limited announced that its subsidiary, Welspun Aunta-Simaria Project Private Limited, has received a Notice of Demand under Section 156 of the Income Tax Act, 1961. The notice follows an Assessment Order issued by the Assessment Unit, National Faceless Assessment Centre, Income-tax Department.The demand pertains to the financial year 2023-24 (Assessment Year 2024-25) and involves a taxable income assessment of Rs. 33.34 crore. The assessment is based on the application of ICDS III read with Section 43CB of the Income-tax Act, 1961, related to the computation of income under the percentage completion method.
Welspun Enterprises believes the demand is not maintainable and intends to file an appeal before the Commissioner of Income-tax (Appeals) Tribunal. The company anticipates no material impact on its financial, operational, or other activities.
Details of the Tax Litigation/Dispute
The following table provides further details regarding the notice:
| Particulars | Details |
|---|---|
| Name of the authority | Assessment Unit, National Faceless Assessment Centre, Income-tax Department |
| Period Covered | FY 2023-24 (AY: 2024-25) |
| Nature of Dispute | Tax Assessment Order under Section 143(3) |
| Date of Receipt | March 27, 2026, information received by the Compliance Officer on April 3, 2026 |
| Details of Violation | Dispute regarding the computation of income under ICDS III read with Section 43CB related to the percentage completion method on Hybrid Annuity Model (HAM) projects |
| Impact | Welspun Enterprises believes the demand is not maintainable and does not foresee any material impact on financial, operational, or other activities |
Source:
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.
The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.
Last edited by a moderator: