Kalpataru Projects International Limited has secured another significant tax relief as the Income Tax Appellate Tribunal (ITAT) Mumbai issued orders reducing tax demands to NIL for Assessment Years 2013-14 to 2015-16 and AY 2017-18. This development adds to the company's earlier success in obtaining relief for AY 2019-20, where a ₹81.53 crore tax demand was cancelled.

Latest ITAT Relief

The company received the latest ITAT order on December 24, 2025, which granted relief in respect of disallowances upheld by the Commissioner of Income Tax (Appeals)-51, Mumbai. The tribunal's decision under section 254 of the Income Tax Act, 1961, has resulted in the complete elimination of tax demands for the specified assessment years.

Previous Tax Relief for AY 2019-20

Earlier, the company had received substantial relief for AY 2019-20 when the Deputy Commissioner of Income Tax, Central Circle-3(3), Mumbai issued an Order Giving Effect (OGE) to the CIT(A) order. This resulted in two significant outcomes:

Comprehensive Tax Resolution Pattern

The latest developments continue Kalpataru Projects' successful track record in tax matters. The company has systematically obtained relief across multiple assessment years:

• AY 2013-14 to AY 2015-16 and AY 2017-18: Tax demands reduced to NIL through latest ITAT order
• AY 2019-20: ₹81.53 crore demand cancelled with ₹7.35 crore refund eligibility
• AY 2020-21: Demand reduced from ₹38.51 crore to ₹25.38 crore through rectification order
• AY 2018-19 to AY 2020-21: Major relief provided through CIT(A) orders

Regulatory Compliance and Timeline

The company has maintained transparent disclosure practices, filing regular updates under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The latest ITAT order was received on December 24, 2025, and promptly disclosed to the stock exchanges.

Strategic Impact

While Kalpataru Projects has achieved favorable outcomes in most tax matters, the company maintains its position to contest any unfavorable decisions before higher appellate authorities where it believes it has strong legal grounds. The elimination of tax demands across multiple assessment years significantly reduces the company's tax-related uncertainties and strengthens its financial position.

The successive tax reliefs, including the complete elimination of demands for AY 2013-14 to 2015-16 and AY 2017-18, along with the earlier ₹81.53 crore relief for AY 2019-20, represent substantial positive developments for Kalpataru Projects International Limited's financial outlook.

Kalpataru Projects International Limited has disclosed the payment of a penalty fee of ₹20.67 lakhs to Gujarat Industrial Development Corporation, as per the regulatory filing made under Regulation 30 of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The payment was initiated by the company on December 24, 2025, at approximately 02:46 p.m. IST.

Penalty Details

The penalty payment was made following advice from Gujarat Industrial Development Corporation and relates to administrative construction-related observations. The company has provided comprehensive details of the regulatory action in its disclosure to stock exchanges.

Nature of Action

As advised by the authority, the company paid the penalty fee towards approval of the updated building plan in relation to administrative construction-related observations. The payment represents a compliance measure to address regulatory requirements related to building plan approvals.

Impact Assessment

According to the company's disclosure, the penalty payment does not have any significant impact on Kalpataru Projects International's financial, operational, or other activities. The company has characterized the financial impact as non-material to its overall business operations.

Regulatory Compliance

The disclosure was made to both BSE Limited and National Stock Exchange of India Limited, with the company trading under scrip codes 522287 and KPIL respectively. This transparency measure ensures compliance with stock exchange listing requirements and keeps investors informed about regulatory developments affecting the company.