Aeroflex Enterprises Limited has informed the Exchange about the Order passed by the Income Tax Department under section 41 of the Income Tax Act, 1961 against Aeroflex Industries Limited, the subsidiary of the Company.
AEROENTER · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Aeroflex Enterprises informed exchanges that its subsidiary, Aeroflex Industries Limited, received an order from the Income Tax Assessment Unit on March 25, 2026 raising a tax demand of Rs. 41,75,88,940 (about Rs. 41.76 crore). The demand relates to assessment year 2018-2019 and involves the disallowance of a claim that waiver of interest on a working capital loan under a one-time settlement was non-taxable under section 41 of the Income Tax Act. The subsidiary plans to file an appeal before the Appellate Authority and believes it has strong merits. The company stated it does not expect the order to have any material financial impact. The disclosure was filed late because the order was received late on March 25 (10:17 PM) and staff were on leave the next day for a festival.
The tax demand is sizeable for the subsidiary (~Rs. 41.76 crore), but since the company plans to appeal and expects no material financial impact, near-term impact on the stock should be limited. Investors should monitor the appeal outcome, as an unfavorable ruling could become a drag on the subsidiary's earnings.