Bombay Dyeing Receives Income Tax Assessment Notice Indicating ₹574 Crore Increase in Income for AY24

Bombay Dyeing and Manufacturing Company Ltd announced on Monday (May 4) that it has received an assessment order from the Income Tax Department’s Assessment Unit for the Assessment Year 2023–24, resulting in an increase of its taxable income by ₹574.35 crore.

The augmented income will be offset against existing tax losses. A tax demand notice of ₹2,26,760 has been issued, and the Income Tax Department has initiated separate penalty proceedings. The company stated that the order was received via a system-generated email on Monday, May 4, 2026.

The company indicated that the increase in income is due to adjustments in transfer pricing, disallowance of deductions linked to real estate income from prior years, and several other expenses.

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Bombay Dyeing mentioned that the order has not adversely affected its operations or activities, aside from the financial implications disclosed. The company will pursue necessary actions, including legal options available under the Income Tax Act.

Third Quarter

The company reported a 12.6% increase in revenue for Q3 FY25, with sales reaching ₹414.8 crore, up from ₹369.2 crore during the same quarter last year.

It achieved a positive EBITDA of ₹15.9 crore, in contrast to a loss of ₹24.2 crore in Q3 FY24, marking a notable improvement in operational performance. The EBITDA margin was recorded at 3.8%. These results indicate progress in enhancing profitability amid market challenges.

Bombay Dyeing is an Indian textile company based in Mumbai, India, functioning as a subsidiary of the Wadia Group, and is among India’s largest textile producers. The current chairman is Nusli Wadia.

Shares of Bombay Dyeing & Manufacturing Company Ltd closed at ₹126.60, marking an increase of ₹13.47, or 11.91%, on the BSE.