V-Guard Industries Limited has informed the Exchange about Action(s) taken or orders passed
VGUARD · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
V-Guard Industries has received an Income-tax Assessment Order dated March 23, 2026, for Assessment Year 2023-24 (FY 2022-23) from the National Faceless Assessment Centre. The tax authority has disallowed the closing balance of provision for warranty (around ₹35.15 crore) as a deductible expenditure, adding it to taxable income. This has resulted in an additional income-tax demand of approximately ₹10.21 crore, including interest. Separately, a show-cause notice has been issued under Section 270A of the Income-tax Act for alleged underreporting of income, which may lead to a penalty if the company fails to rebut it. The company plans to file an appeal before the Commissioner of Income-tax (Appeals) and is also considering a rectification application, stating it has strong grounds on both facts and law.
The ₹10.21 crore tax demand is a material but manageable outflow for V-Guard and may cause short-term negative sentiment. However, since the company intends to appeal, no immediate cash impact is expected, and the long-term financial effect will depend on the appeal outcome.