Shree Cement Gets ₹5.89 Billion Tax Demand, Says No Impact On Operations

Shree Cement Ltd. on Wednesday said it has received an order from the Income Tax Department, Ajmer, raising a demand of ₹5.89 billion, including interest, for disallowances made in the financial year 2021–22.

In an exchange filing, the company said there appear to be prima facie errors in the order. Once these are rectified by the assessing officer, the disputed demand is expected to reduce substantially. The remaining amount will be adjusted against pending tax refunds due to the company.

Shree Cement added that it is pursuing remedial action on the advice of legal counsel and expects the entire demand to be resolved, based on prior rulings by authorities and appellate bodies in earlier years.

The company stated that there is no impact on its financials, operations or other activities.