The company indicated that it received a show-cause notice from the Assistant Commissioner (ST) office, Royapuram (C) Assessment Circle, North Division, Chennai. This demand of ₹1,352.9 crore for FY23 is based on alleged discrepancies in the turnover reported by the company and TDS deductions.
Patanjali Foods is currently preparing a suitable response in collaboration with its tax advisors and believes it has sufficient grounds to support its case before the appropriate authorities within the specified deadlines.
The company does not anticipate any financial liability resulting from the notice, although the precise consequences will remain uncertain until the proceedings are concluded.
Baba Ramdev-led Patanjali Foods Ltd posted a net profit of ₹364.2 crore for the third quarter, representing a 26% decrease from ₹491.2 crore in the same period last year.
Revenue for the quarter grew by 16.5%, reaching ₹10,483 crore, compared to ₹8,997 crore during the corresponding period last year.
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Patanjali Foods shares closed down on Wednesday, May 27, dropping 2.52% to finish at ₹454 on the NSE.
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(Edited by : Shoma Bhattacharjee)
