Legal27 Mar 2026, 03:58 pm
Novartis India Ltd Receives Demand Notice under Section 156 of Income Tax Act, 1961
AI Summary
Novartis India Ltd has received a demand notice under Section 156 of the Income Tax Act, 1961, pertaining to proceedings concluded under Section 201 (1)/ 201(1A) of the Act for Assessment Year 2020-21. The company has also received an order in this regard on March 27, 2026. The demand is for INR 10,28,40,780, comprising of INR 5,75,85,157 and interest under section 201(1A) of INR 4,52,55,623. The company plans to file an appeal with the appropriate appellate authority and seek a stay of demand. The demand is due to alleged non-compliance with tax deducted at source provisions pertaining to alleged margin to stockist and interest on MSMEs.
Key Highlights
- Novartis India Ltd received a demand notice under Section 156 of the Income Tax Act, 1961.
- The demand is for INR 10,28,40,780, comprising of INR 5,75,85,157 and interest under section 201(1A) of INR 4,52,55,623.
- The demand is due to alleged non-compliance with tax deducted at source provisions.
- The company plans to file an appeal with the appropriate appellate authority.
- The company will seek a stay of demand.