FORCE MOTORS LTD has informed the Exchange about Pendency of Litigation(s)/dispute(s) or the outcome impacting the Company
FORCEMOT · price
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Awaiting price reaction for this filing.
Force Motors has filed a Writ Petition before the Bombay High Court challenging income tax reassessment notices received under the Income Tax Act, 1961. The dispute relates to the tax department's treatment of R&D expenditure for Financial Year 2017-18 (AY 2018-19) and Financial Year 2019-20 (AY 2020-21). The respondents are the Assistant Commissioner of Income-tax (Circle 8, Pune), the Principal Chief Commissioner of Income-tax (Pune), and the Union of India. The company has stated that no financial implications or tax demand are currently quantifiable. This is a proactive legal step by the company to contest the reassessment.
No immediate financial impact on shareholders as the company has not quantified any potential liability and no demand has been raised yet. The outcome of the writ petition could affect future tax outflows if the court rules against the company.