Nila Infrastructures Limited has received significant relief from the Income Tax Department through two separate appellate orders issued in April 2026. The company informed stock exchanges about these developments under Regulation 30 of SEBI Listing Regulations on 21 April 2026 and 25 April 2026 respectively.

Background of Tax Proceedings

The current developments stem from earlier tax proceedings that began with search operations conducted by the Income Tax Department, which the company had initially disclosed on 12 September 2021. Subsequently, the company provided an update on 19 June 2023 regarding the completion of income tax assessment for the block period covering multiple assessment years.

First Appellate Order - Complete Relief

The Commissioner of Income Tax (Appeal) – 12, Ahmedabad issued the first appellate order on 20 April 2026, addressing the company's appeal against income tax assessment proceedings. This order covers the search-related block period for assessment years 2014-15, 2016-17, 2017-18, and 2019-20 to 2022-23.

The appellate order has resulted in complete deletion of all additions, disallowances, demands, interest, and penalties that were previously imposed by the assessing officer on a protective basis. This comprehensive relief means that no tax liability survives against the company for these specified assessment years.

Second Appellate Order - Assessment Year 2018-19

In a separate development, the company received another order from the Appellate Authority of Income Tax Department on 24 April 2026, pertaining to assessment year 2018-19. The communication was received via email at 7:08 p.m. on the same date. The Appellate Authority has partly allowed the appeal and restricted the addition of income to INR 33.23 lac.

Financial and Operational Impact

According to the company's disclosure, the demand that was previously raised by the assessing officer and intimated on 19 June 2023 now stands completely deleted for the covered assessment years except 2018-19. For assessment year 2018-19, the addition of income stands restricted to INR 33.23 lac by the order of the appellate authority. The maximum monetary impact due to this addition shall be restricted to the amount of tax, interest and penalty, if any, at applicable tax rate on the above addition.

The company has stated that there is no adverse impact on its financials, operations, or other activities due to these appellate orders. The Company shall take appropriate action in the matter as per legal consultation from expert advisors and consultants.

Regulatory Compliance

The company has fulfilled its disclosure obligations under Regulation 30 of SEBI Listing Regulations, providing detailed information as required under SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023. The information has also been made available on the company's website at www.nilainfra.com for stakeholder access.

Nila Infrastructures Limited has submitted its quarterly compliance certificate to stock exchanges, fulfilling regulatory requirements under SEBI (Depositories and Participants) Regulations, 2018. The company filed the mandatory documentation for the quarter ended March 31, 2026.

Regulatory Compliance Filing

The certificate was submitted under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018, addressing the company's dematerialization processes during the fourth quarter of fiscal year 2026. Company Secretary Dipen Y Parikh communicated the filing to both major stock exchanges on April 16, 2026.

Registrar Confirmation

MCS Share Transfer Agent Ltd, serving as the company's registrar and share transfer agent, issued the compliance certificate on April 7, 2026. The registrar confirmed that securities received from depository participants for dematerialization during the quarter were properly processed and confirmed to the depositories.

The certificate validates several key compliance aspects:

• Securities received for dematerialization were confirmed to depositories
• Security certificates were mutilated and cancelled after verification
• Depository names were substituted in the register of members within the prescribed 15-day timeframe
• Listed securities remain on stock exchanges where previously issued securities are traded

Stock Exchange Communication

The company communicated with both primary stock exchanges where its shares are listed. The filing ensures transparency and regulatory adherence across trading platforms where Nila Infrastructures maintains its market presence.

This quarterly filing represents standard regulatory compliance for listed companies, ensuring proper documentation of dematerialization activities and maintaining transparency with market regulators and investors.