Deepak Fertilizers And Petrochemicals Corporation Limited has informed the Exchange about Action(s) taken or orders passed
DEEPAKFERT · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Deepak Fertilizers informed the exchange that a tax demand originally raised against its wholly-owned subsidiary Mahadhan AgriTech Limited has been drastically reduced. Earlier, the Assistant Commissioner of Commercial Taxes (Audit), Bengaluru had raised a demand of ₹1.84 crore against the subsidiary. The company filed a rectification application under Section 161 of the CGST Act, 2017, and the tax authority has now passed a rectification order cutting the demand down to just ₹1,04,048. This represents a reduction of over 99% from the original assessed amount, a favourable outcome for the subsidiary and the parent company.
This is a positive development for shareholders, as the subsidiary's potential tax liability has been reduced from ₹1.84 crore to roughly ₹1 lakh, easing a financial overhang on Mahadhan AgriTech and its parent DFPCL. The news may be viewed as mildly positive by the market, though the absolute amount is not material to the consolidated financials.