Income Tax imposes Rs 4.73 lakh penalty on Shree Tirupati Balajee Agro

Shree Tirupati Balajee Agro Trading Co. Ltd has been penalised Rs 4,73,624 by the Income Tax Department for under-reporting income during Assessment Year 2017-18. The order, passed by the Assessment Unit under Section 270A of the Income-tax Act, 1961, was received via email on June 05, 2026. The company stated that this financial penalty is not expected to have a material impact on its financial, operational, or other activities.

The penalty arises from allegations of incorrect claims of deductions. Specific violations identified in the order include the delayed deposit of employees' contribution towards Provident Fund (PF) and Employee State Insurance (ESI). Additionally, the order cites the claim of directors' personal expenses as business expenditure and the deduction of compounding fees and interest on Tax Deducted at Source (TDS) as business expenses. These actions were held to fall within the ambit of under-reporting of income under Section 270A(3) read with Section 270A(10) of the Income-tax Act, 1961.

Details of the Order

The disclosure was made to the exchanges in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The table below outlines the key particulars of the order:

Sr. No.	Particulars	Details
1	Name of the authority	Assessment Unit, Income Tax Department, Government of India
2	Nature and details of the action(s) taken	Order passed under Section 270A of the Income-tax Act, 1961 imposing penalty for alleged under-reporting of income.
3	Date of receipt of direction or order	Order dated June 05, 2026 received over email on June 05, 2026 at 19:19 hours.
4	Details of the violation(s)	Under-reporting of income arising from incorrect claims of deductions, including (i) delayed deposit of employees' contribution towards PF/ESI, (ii) claim of directors' personal expenses as business expenditure, and (iii) claim of compounding fees and interest on TDS as deductible expenses.
5	Impact on financial, operation or other activities	The penalty amounting to Rs 4,73,624 is not expected to have any material impact on the financial, operational or other activities of the Company.

Future Course of Action

Shree Tirupati Balajee Agro Trading Co. Ltd is currently evaluating the order received from the tax authorities. The company has indicated that it will take appropriate steps, which may include filing an appeal, as advised. The disclosure was signed by Rishika Singhai, Company Secretary and Compliance Officer.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.42%	-2.51%	-13.71%	-29.13%	-42.88%	-70.03%

Shree Tirupati Balajee Agro Trading Co. Ltd. reported a decline in its consolidated net profit for the financial year ended March 31, 2026, primarily due to lower total income. The board of directors approved the audited standalone and consolidated financial results for the fourth quarter and the full year at a meeting held on May 29, 2026. The statutory auditors provided an unmodified opinion on the financial results, which were prepared in accordance with the Indian Accounting Standards (Ind AS) and Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company published the financial results in newspapers Choutha Sansar and Free Press on May 30, 2026, pursuant to Regulation 47(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Rishika Singhai, Company Secretary and Compliance Officer, confirmed the publication.

Financial Performance

For the year ended March 31, 2026, the company reported a consolidated net profit of ₹1,231.11 lakh, a decrease from ₹3,209.26 lakh in the previous year. Total income for the year stood at ₹58,141.68 lakh, compared to ₹59,515.50 lakh in FY25. On a standalone basis, the net profit for FY26 was ₹884.23 lakh, down from ₹1,482.83 lakh in the corresponding period last year. Revenue from operations for the year was ₹35,865.38 lakh, slightly lower than ₹36,012.86 lakh in FY25.

Quarterly Results

In the quarter ended March 31, 2026, the standalone net profit was ₹235.86 lakh, while the consolidated net profit was ₹370.75 lakh. Revenue from operations for the quarter stood at ₹8,355.46 lakh on a standalone basis and ₹12,955.61 lakh on a consolidated basis. The company's basic earnings per share (EPS) for the year was ₹1.08 on a standalone basis and ₹1.35 on a consolidated basis.

Key Financial Metrics

The following table summarizes the key financial figures for the year ended March 31, 2026:

Particulars	Standalone FY26 (₹ in Lakhs)	Consolidated FY26 (₹ in Lakhs)
Revenue from operations	35,865.38	57,373.15
Total income	36,385.17	58,141.68
Total expenses	35,180.42	56,418.66
Net profit	884.23	1,231.11
Basic EPS (₹)	1.08	1.35

IPO Proceeds Utilization

The company had completed an initial public offering (IPO) of 2,04,40,000 equity shares with a face value of ₹10 each at an issue price of ₹83 per share. The total offer proceeds of ₹12,242.50 lakh have been fully utilized as of March 31, 2026. The funds were used for repayment of borrowings, funding working capital requirements for the company and its subsidiaries, and general corporate purposes.