Shree Cement Faces Draft Tax Assessment Order Proposing Rs 149-Crore Demand

Shree Cement Limited ( (IN:SHREECEM) ) just unveiled an announcement.

Shree Cement Limited has disclosed that it received a draft assessment order under Section 144C(1) of the Income Tax Act for FY 2022-23 from the Assistant Commissioner of Income Tax, Central Circle, Ajmer. The order proposes disallowances and additions to the company’s returned income, which could lead to a potential tax demand of about Rs 149 crore, excluding interest, to be adjusted against pending refunds.

The company stated that the final tax liability will only be known once the final order is issued, and it is consulting legal counsel on the matter. Management maintains that the disallowances are not sustainable before appellate authorities and expects no major impact on Shree Cement’s financial position, operations, or other activities, suggesting limited long-term disruption for stakeholders despite the headline quantum of the proposed demand.

More about Shree Cement Limited

Shree Cement Limited is one of India’s leading cement manufacturers, operating in the building materials sector with a significant presence in northern and eastern markets. The company produces cement and related products for infrastructure and real estate development, and its securities are listed on both the National Stock Exchange and BSE, with additional funding via non-convertible debentures.

Average Trading Volume: 1,565

Technical Sentiment Signal: Hold

Current Market Cap: 830.6B INR

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