IT services firm Coforge on Thursday said that it has received income tax demand of Rs 83 crore for the financial year 2019-20. “This is to inform that the Company has received income tax assessment order/ demand order for financial year 2019-20 (assessment year 2020-21) with tax demand along with interest,” the company said in a regulatory filing.
It added that the total tax demand is of Rs 82,93,04,505 (including interest liability of Rs 25,73,70,345), while maintaining that this will not have any material adverse effect on the Group’s financial statement. “Considering the jurisprudence around the adjustments made and the facts of the case, the company in consultation with its tax advisors is of the view that our position will be upheld on ultimate resolution and will not have a material adverse effect on the Group’s Financial Statement,” it said.
Earlier in July, Coforge had posted first quarter earnings for the financial year 2023-24. It had clocked a profit of Rs 165.30 crore, up 10.4 per cent in comparison to Rs 149.70 crore in the corresponding quarter of last year. It had posted revenue from operations at Rs 2221 crore, up 21.4 per cent as against Rs 1829.40 crore during the first quarter of FY23. The Board had also declared an interim dividend of Rs 19 per equity share of the company on the face value of Rs 10 each fully paid up, for the financial year 2023-24.