Infosys Limited shares surged over 3% after the company announced that it has received favourable assessment orders from the Income Tax Department, leading to an expected cumulative refund of ₹1,745 crore, including interest.
In a regulatory filing dated March 31, 2026, Infosys stated that the assessment orders were issued under the Income-tax Act, 1961, covering multiple financial years. These include assessment years 2013–14, 2017–18, 2018–19, 2019–20, 2020–21, and 2021–22.
The development is seen as a positive trigger for the IT major, as the substantial tax refund is expected to strengthen its cash flows. The inclusion of interest in the refund further enhances the overall financial benefit for the company.
Infosys also clarified that it is currently evaluating the impact of these assessment orders on its financial statements for the quarter and financial year ending March 31, 2026. The final accounting treatment and recognition of the refund will be determined after a detailed review.
The market responded positively to the update, with Infosys shares gaining more than 3% in early trade, reflecting improved investor sentiment around the company’s financial position.