Tax demand of about Rs 20 lakh nullified after income tax rectification

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PAR · price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reactionminutes from the announcement price · days from the prior close

-2.7%Reaction day

₹88.20

prior close

₹87.00

announcement price

After-mkt

timing

Nifty Microcap 250market · in no size index; the smallest one is used-1.1%-1.5% vs market

Pharmaceuticals peers, median of 165sector-0.6%-2.1% vs sector

On the reaction day the stock moved 1.5 pts less than Nifty Microcap 250 and 2.1 pts less than its Pharmaceuticals peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

Stock

+0.0

10m

+0.0

15m

-0.6

30m

-1.4

Sessions after the filingfrom the prior close

StockMarketvs marketSectorvs sector

Reaction day

-2.7-1.1-1.5-0.6-2.1

Next day

-3.4+1.9-5.3+0.5-3.9

+5.8+3.7+2.1+0.9+4.9

+7.8+4.2+3.5+0.8+6.9

+7.7+5.4+2.3+1.0+6.7

+9.9+5.9+4.0+1.8+8.1

+7.3+7.6-0.3+2.5+4.8

15d

+3.6+7.7-4.1+6.2-2.6

+2.3+8.6-6.2+5.5-3.2

+13.4+10.5+2.8+6.3+7.1

+60.7+13.3+47.3+9.6+51.0

UpDownMarket · Nifty Microcap 250Sector · Pharmaceuticals peers, median of 165Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

Par Drugs had received an Income Tax demand of about Rs 20.09 lakh (Rs 14.79 lakh tax plus Rs 5.30 lakh interest) due to a clerical error in ITR filing, where CSR and gratuity amounts were wrongly disclosed. The company filed a rectification request under Section 154. The Income Tax Department accepted it and passed a rectification order deleting all additions. Tax demand is now NIL with no financial impact.

Likely market impact

Positive for shareholders - the entire tax demand of about Rs 20 lakh has been cancelled, no financial impact on the company.