Disclosure on Show Cause notice received from Assessment Unit, National Faceless Assessment Centre, Income Tax Department.
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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.
Rane (Madras) Limited has received a Show Cause Notice from the Income Tax Department's National Faceless Assessment Centre on February 20, 2026. The notice relates to the disallowance of Rs. 24.01 crores concerning the treatment of gain arising from derivative assets and trademark fee expenditure for Assessment Year 2023-24 (FY 2022-23). The expected financial implication is Rs. 6.04 crores, excluding any applicable interest and penalty. The company plans to file a suitable reply in consultation with its tax advisors within the prescribed timelines.
The potential tax demand of Rs. 6.04 crores is relatively modest compared to the company's size and is unlikely to materially affect operations, though a negative outcome could impact near-term earnings. The stock may see minor volatility as the market digests the tax dispute, but the company still has the opportunity to contest the disallowance.