Infosys is the second largest IT services company in the country. (Representative)
New Delhi:
Infosys has received a tax bill of Rs 341 crore from the Income Tax department for assessment year 2020-21, the IT services company said on Monday, adding that it is evaluating the filing of an appeal against the said order.
The Bengaluru-headquartered company said it is in the process of evaluating the impact of the order on its financial statements for the quarter and year ended March 31, 2024. Infosys also said it is considering filing an appeal against this order evaluates.
“Infosys Ltd received order… from the Income Tax Department, Government of India on March 31, 2024 for assessment year 20-21 with a tax assessment of Rs 341 crore (including interest). The company is in the process of evaluating the implications of this order for the financial statements for the quarter and year ended March 31, 2024, and also evaluating the filing of an appeal against this order,” Infosys said in a BSE filing.
Further, a subsidiary of the company has received a refund order from the Income Tax Department for the assessment year 2014-15, adding the refund amount as per the order is Rs 15 crore.
“The company is evaluating the impact of this order on its financial statements for the quarter and year ended March 31, 2024,” Infosys said.
Infosys, the country’s second largest IT services company, recently informed the stock exchanges that it expects a refund of Rs 6,329 crore from the Income Tax department. In the same breath, it had also informed about a tax demand worth Rs 2,763 crore, citing various assessment orders.
In the filing on Saturday, Infosys Ltd said it had received orders from the Income Tax Department during the quarter for assessment years 07-08 to 15-16, 17-18 and 18-19.
“As per the orders, the company expects a refund of Rs 6,329 crore (including interest). The company is evaluating the impact of these orders on its financial statements for the quarter and year ended March 31, 2024,” the company said. had said in the BSE filing.
Infosys, which competes with TCS and Wipro and others in the IT services contract market, is expected to announce its financial results for the fourth quarter of the current fiscal and the full FY24 on April 18.
The Bengaluru-headquartered IT company also said it has received an order for assessment year 22-23 with a tax claim of Rs 2,763 crore, including interest, and for assessment year 11-12 with a tax claim of Rs 4 crore, including interest.
Infosys has also received valuation orders for subsidiaries, totaling Rs 277 crore.
These include assessment orders for assessment years 21-22 and 18-19 respectively, with a total tax demand of Rs 145 crore; order for assessment year 22-23 with tax bill of Rs 127 crore; and for assessment year 22-23 with a tax claim of Rs 5 crore – all inclusive of interest.
For the December quarter, Infosys reported a lower-than-expected 7.3 percent decline in net profit due to weak customer demand and lowered its annual sales forecast. The company posted a net profit (attributable to shareholders) of Rs 6,106 crore, compared to Rs 6,586 crore in the same period last year.
Infosys’ consolidated revenue from operations rose 1.3 per cent to Rs 38,821 crore during the third quarter of FY24 from Rs 38,318 crore a year ago.
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