Parag Milk Foods Limited has received a penalty order from the Central Range 2, Pune of the Income Tax Department under Section 271D of the Income Tax Act, 1961. The order, issued for the Assessment Year 2016-17, imposes a penalty of ₹3.26 crore on the company for a violation of Section 269SS of the Income Tax Act, which pertains to restrictions on cash transactions.
The company confirmed that it received the penalty order on February 28, 2025, at 10:38 a.m. (IST). However, Parag Milk Foods has stated that it intends to pursue an appeal against the order and has requested that the penalty proceedings be kept under abeyance until the appeal is resolved. The company also clarified that there is no impact on its operations or other activities due to this order.
Further updates on the appeal proceedings are awaited as Parag Milk Foods navigates the regulatory challenge.
