News Stocks Electrotherm Receives Income Tax Demand Notice of ₹72.69 Crore for Assessment Year 2017-18Electrotherm Receives Income Tax Demand Notice of ₹72.69 Crore for Assessment Year 2017-18
Electrotherm (India) Limited received an income tax assessment order and demand notice totaling ₹72,69,05,210 for assessment year 2017-18, comprising ₹35,52,32,531 in net tax liability and ₹37,16,72,679 in interest liability. The company plans to seek legal advice and file an appeal against the order, with management expressing confidence that there will be no impact on financials or operations at this stage.
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Electrotherm (India) Limited has received a significant income tax assessment order and demand notice from the Income Tax Department, totaling ₹72,69,05,210 for assessment year 2017-18. The company disclosed this development in compliance with SEBI listing regulations on March 10, 2026.
Assessment Order Details
The Income Tax Department's Assessment Unit issued the order under Section 147 read with Section 144B of the Income Tax Act, 1961, along with a Demand Notice under Section 156. The assessment order and demand notice were dated March 6, 2026, and received by the company on March 10, 2026.
| Component | Amount (₹) |
|---|---|
| Net Tax Liability | 35,52,32,531 |
| Interest Liability | 37,16,72,679 |
| Total Demand | 72,69,05,210 |
Company's Response Strategy
Electrotherm has outlined its approach to address the income tax demand. The company plans to seek legal advice and file an appeal with the Income Tax Department against the assessment order. This indicates the company's intention to contest the demand through proper legal channels.
Management Assessment
Despite the substantial demand amount, the company's management has expressed confidence regarding the potential impact on business operations. Based on the company's own assessment and legal advice received, the management believes there will be no impact on the financials, operations, or other activities of the company at this stage.
Regulatory Compliance
The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The announcement was signed by Shailesh Bhandari, Executive Vice Chairman (DIN: 00058866), ensuring proper corporate governance protocols were followed in communicating this material development to stakeholders.
Key Parameters
| Detail | Information |
|---|---|
| Authority | Assessment Unit, Income Tax Department |
| Assessment Year | 2017-18 |
| Order Date | March 6, 2026 |
| Receipt Date | March 10, 2026 |
| Total Demand | ₹72,69,05,210 |
The company's proactive disclosure and planned legal response demonstrate its commitment to addressing the matter through appropriate channels while maintaining transparency with investors and regulatory authorities.
Historical Stock Returns for Electrotherm
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.76% | -10.65% | -20.87% | -34.69% | -13.59% | +423.61% |
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