Wednesday, Nov 26 — Shares of Indian Overseas Bank (IOB) were trading higher at ₹39.76, up 2.37%, after the lender disclosed that it has received a major income tax refund of ₹835.08 crore for Assessment Year 2022–23. The refund amount also includes interest.
According to the bank’s disclosure, the refund order was issued on November 21, 2023, giving effect to an appellate ruling passed under Section 250 of the Income Tax Act. The amount sanctioned stands at ₹835,07,83,969, as specified in the communication.
IOB stated that it received the order via email on November 24, 2023, and made the disclosure in line with Regulation 30 read with Schedule III of SEBI (LODR) Regulations, 2015, ensuring timely and accurate reporting of material developments.
From a financial standpoint, the refund is notable when compared with IOB’s latest reported figures. As of March 2023, the bank held current assets of ₹33,760.20 crore, meaning the refund represents around 2.47% of its current asset base. The additional funds are expected to support liquidity and further strengthen financial reserves.
IOB’s financial position as of March 2023 included:
• Total Assets: ₹395,015 crore
• Total Equity: ₹32,540.90 crore
• Reserve & Surplus: ₹13,284.30 crore
Investors will be watching how the bank utilises this sizeable refund at a time when the sector continues to focus on balance sheet consolidation and capital strength. Shares of IOB were trading between ₹39.39 and ₹39.95 in early deals today, with a market cap of ₹766.22 billion.
