Shares of Shree Cement experienced a nearly 2% decline following the company’s decision to challenge a tax demand of Rs 261.88 crore issued by the Income Tax department.
As of 11:24 am, Shree Cement shares were trading 1.38% lower at ₹26,124.95 on the stock exchange.
Shree Cement disclosed that it had received an assessment order on February 24, issued under section 143(3) of the Income Tax Act, 1961, for the assessment year 2021-22. The order included certain additions and disallowances, which the company believes contain prima facie errors or ‘mistakes apparent from record’.
In response, Shree Cement stated its intention to file an appeal against the disallowances made in the assessment order and petition for rectification of the identified errors. The company expressed confidence that, based on past precedents and expected relief from rectification petitions, the entire tax demand would eventually be nullified. Shree Cement emphasized that the tax dispute would not impact its financial, operational, or other activities.
Shree Cement affirmed its commitment to utilizing the recourse provided in the Income Tax Statute to contest the demand raised in the assessment order.
