3i Infotech Limited has informed the Exchange about General Updates
3IINFOLTD · price
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Awaiting price reaction for this filing.
3i Infotech's US subsidiary has received an intimation from the US Internal Revenue Service (IRS) confirming an overpayment, along with a payment instrument. The subsidiary is entitled to a grant of USD 2,144,816.87 (approximately USD 2.14 million) under the US government's 'Employee Retention Tax Credit' Scheme, which was introduced to help businesses retain employees during the COVID-19 pandemic. The company is still evaluating how to account for this amount in its financial results. This is a one-time tax benefit related to past payrolls, not new business revenue.
This is a small positive for shareholders as it brings in roughly USD 2.14 million in cash/tax benefit for the US subsidiary, but the amount is modest and the company has not confirmed its accounting treatment yet, so it is unlikely to move the stock significantly.