Chambal Fertilizers & Chemicals Limited has informed the Exchange about Action(s) taken or orders passed

Chambal Fertilisers has received an order from the Income Tax Department's Assessment Unit levying a penalty of Rs. 58,27,971 (about Rs. 58.28 lakh) under Section 270A of the Income Tax Act, 1961. The penalty relates to an alleged wrong claim of deduction for Education Cess and Secondary & Higher Education Cess in the income tax return for Assessment Year 2017-18. The company originally claimed this deduction based on a favourable Rajasthan High Court ruling in its own case, but the Finance Act 2022 introduced a retrospective amendment overturning that position, after which the company surrendered the claim and paid the tax. The company has stated there is no material impact on its financial position or operations beyond the penalty amount, and it plans to challenge the order at the appropriate appellate forum.