Disclosure pursuant to Regulation 30 of the SEBI (LODR) Regulations, 2015, in connection with TDS related matter .
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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
The Income Tax Department had filed criminal proceedings against Bihar Sponge Iron Ltd and its director Mr. RK Sharma for delay in depositing Tax Deducted at Source for FY 2013-14 and FY 2014-15, with the matter pending at the Principal Commissioner's office in Patna. The company's earlier application to 'compound' (settle) the offence under the Income Tax Act has been rejected purely on procedural grounds, because it did not meet the format requirements under the CBDT Guidelines dated 17 October 2024. The company is consulting its legal and tax advisors and plans to file a fresh compounding application in the correct format. The company states that, given the scale of its operations, there will be no material financial impact from this matter.
This is an old tax compliance issue (FY 2013-14 and 2014-14) and the rejection is procedural rather than substantive. The company has explicitly stated no material financial impact, so shareholders are unlikely to see a significant effect on the stock, though the matter remains unresolved.