Shree Cement Limited , a prominent player in the Indian cement industry, has received a significant reduction in its income tax demand following a rectification order. The company's tax liability has been decreased to ₹221.72 crore, marking a favorable outcome for the cement manufacturer.

Tax Demand Reduction

The reduction in tax demand comes as a result of a rectification order issued under section 154 of the Income Tax Act. This development follows an earlier assessment order under section 143(3) of the Income Tax Act for the financial year 2021-22, which had initially raised a demand of ₹588.65 crore.

Key Points of the Rectification

Settlement and Company's Response

Shree Cement has confirmed that the revised demand of ₹221.72 crore has been fully paid through adjustments against pending refunds. However, the company has not accepted this as the final outcome. According to the disclosure made to the stock exchanges, Shree Cement has filed an appeal before the appellate authority against the disallowances made in the assessment order.

Company's Outlook

The cement manufacturer expressed optimism regarding further reduction in the tax demand. In its communication to the stock exchanges, Shree Cement stated, "Looking to the orders of authorities and appellate forum passed for preceding years, the company expects that the demand should further come down."

Implications and Next Steps

While the substantial reduction in tax demand is a positive development for Shree Cement, the ongoing appeal process suggests that the final tax liability may still be subject to change. Investors and stakeholders will likely keep a close watch on the progress of the company's appeal and any subsequent adjustments to the tax demand.

This development underscores the complexities of tax assessments in the corporate sector and highlights the importance of the rectification and appeal processes in resolving tax disputes between companies and tax authorities.

Shree Cement Limited , a prominent player in the Indian cement industry, successfully concluded its 46th Annual General Meeting (AGM) on August 4, 2025, with shareholders approving all proposed resolutions by a significant majority. The meeting, which saw participation from both institutional and non-institutional investors, marked several key decisions for the company's future.

Dividend Approval

One of the highlights of the AGM was the approval of the company's dividend payout. Shareholders ratified an interim dividend of Rs 50.00 per equity share, which had been previously declared. Additionally, they approved a final dividend of Rs 60.00 per share, bringing the total dividend for the financial year ended March 31, 2025, to an impressive Rs 110.00 per equity share.

Financial Statements Adoption

The meeting saw the adoption of both standalone and consolidated audited financial statements for the fiscal year 2024-25, along with the reports of the Board of Directors and Auditors. This resolution received overwhelming support, with 99.80% of votes cast in favor.

Board Composition

Shareholders also approved the re-appointment of Mr. Neeraj Akhoury (DIN: 07419090) as a Director of the company. Akhoury, who was retiring by rotation, will continue to serve on the board, having received 99.65% of votes in his favor.

Auditor Appointments

In a move towards strengthening its corporate governance, Shree Cement appointed M/s. Pinchaa & Co. as the Secretarial Auditors for a term of five consecutive years. This resolution was passed with 99.12% of shareholders voting in favor.

The company also ratified the remuneration of M/s. K. G. Goyal and Associates as Cost Auditors for the financial year ending March 31, 2026. This decision received near-unanimous approval, with 99.99% of votes supporting the resolution.

Shareholder Participation

The AGM witnessed active participation from shareholders. As of the cut-off date of July 28, 2025, the company had 26,175 shareholders on record. The meeting provided for voting through both e-voting and polling papers, ensuring wide participation and transparency in the decision-making process.

Shree Cement's commitment to shareholder value and corporate governance was evident in the strong support received for all resolutions. The approval of a substantial dividend payout, in particular, signals the company's robust financial health and its dedication to rewarding shareholders.

As Shree Cement moves forward, these decisions are likely to play a crucial role in shaping its strategies and operations for the coming fiscal year, reinforcing its position in the competitive cement industry.