Puravankara Ltd Receives Demand Notice from Income Tax Department for Rs. 39.34 Crores in A.Y 2016-17 and Rs. 12.53 Crores in A.Y 2017-18

Puravankara Ltd has received a demand notice under Section 156 of the Income Tax Act from the Deputy Commissioner of Income Tax, Central Circle -1(2), Bengaluru for Rs. 39.34 Crores related to A.Y 2016-17 and Rs. 12.53 Crores related to A.Y 2017-18. The demand is due to disallowance of certain expenses and denial of indexation for the cost of acquisition of shares. The Company is in the process of filing an appeal before the Commissioner of Income Tax (Appeals) against the said order within the prescribed timelines. It has strong legal and factual grounds to support its case. The Company is also assessing the implications of these orders on its financial statements. There is no impact on its operations or other activities.