Kaveri seed company has filed its quarterly compliance certificate under SEBI Regulation 74(5) for the quarter ended March 31, 2026. The certificate was submitted to both BSE Limited and National Stock Exchange of India Ltd on April 09, 2026, as part of mandatory regulatory compliance requirements.

Regulatory Compliance Certificate

The certificate was issued by Bigshare Services Pvt. Ltd., which serves as the registrar and share transfer agent for Kaveri Seed Company Limited. The document confirms compliance with SEBI (Depositories and Participants) Regulations, 2018, specifically under Regulation 74(5) for the quarter ended March 31, 2026.

Certificate Confirmation

Bigshare Services Pvt. Ltd. confirmed that securities received from depository participants for dematerialisation during the quarter ended March 31, 2026 were properly processed. The registrar certified that all securities received for dematerialisation were confirmed to the depositories and that the securities comprised in the certificates have been listed on the stock exchange where the earlier issued securities are listed.

Dematerialisation Process Compliance

The certificate confirms adherence to prescribed procedures for handling dematerialisation requests. Key compliance aspects include:

• Securities received for dematerialisation were mutilated and cancelled after due verification by the depository participant
• Names of the depositories were substituted in the register of members as registered owners within the stipulated 15-day period
• All dematerialisation confirmations were processed in accordance with regulatory requirements

Corporate Communication

The submission was signed by G.V. Bhaskar Rao, Managing Director of Kaveri Seed Company Limited. The communication was addressed to the corporate relations departments of both BSE Limited at Dalal Street, Mumbai and National Stock Exchange of India Ltd at Bandra Kurla Complex, Mumbai, ensuring compliance with dual listing requirements.

Kaveri seed company has secured a significant legal victory with the Income Tax Appellate Authority ruling in its favor, setting aside a substantial tax demand of Rs 69,58,75,410/- for Assessment Year 2023-24. The favorable order, dated April 8, 2026, from the Office of the Commissioner of Income Tax, Appeal CIT (A), Hyderabad-11, has provided relief to the agricultural seed company.

Appellate Authority Allows Agricultural Income Exemption

The Income Tax Appellate Authority has accepted Kaveri Seed Company's position regarding the treatment of disputed income as agricultural income. The original demand was raised primarily due to the disallowance of exemption claimed on agricultural income under section 143(3) of the Income Tax Act, 1961, dated March 27, 2025.

Financial Impact and Company Position

The appellate order has completely set aside the earlier tax demand, resulting in no adverse financial impact on the company. This outcome validates Kaveri Seed Company's stance on the agricultural nature of its income and its eligibility for tax exemption under the relevant provisions of the Income Tax Act.

Background and Legal Proceedings

The company had previously disclosed the receipt of the demand notice on March 27, 2025, and had informed stakeholders about its intention to pursue appropriate legal remedies. The successful appeal demonstrates the company's commitment to defending its tax position through proper legal channels.

Regulatory Compliance

Kaveri Seed Company has fulfilled its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, by promptly informing both the National Stock Exchange of India Limited and BSE Limited about the favorable outcome. The company's proactive communication approach ensures transparency with stakeholders regarding significant legal and financial developments.

This positive resolution eliminates a substantial contingent liability and reinforces the company's position regarding the tax treatment of its agricultural income, providing clarity for future assessments and business operations.