For 2020-21, Infosys Receives $341 Million Tax Demand

(CTN News) – The Income Tax Department has assessed Infosys for 341 crore in tax for assessment year 2020-21, the IT services company said on Monday, adding it is evaluating whether to appeal.

Company officials have said they will evaluate the order’s impact on their financial statements for the quarter and year ending March 31, 2024. In addition, Infosys said it is considering appealing the ruling.

In March 2024, Infosys Ltd received an order…from the Income Tax Department of the Government of India with a tax demand of 341 crore (including interest) for assessment year 20-21. In a BSE filing, Infosys said it was evaluating the implications of this order for the quarter and year ending March 31, 2024, as well as considering filing an appeal.

Furthermore, a subsidiary of the company has received a refund order from the Income Tax Department for assessment year 2014-15, adding that the refund amount is 15 crores as per the order.

In a statement, Infosys said it was evaluating the impact this order will have on its financial statements for the quarter and year ending March 31, 2024.

According to Infosys, the country’s second largest IT service provider,

The Income Tax Department expects to refund it “6,329 crore.” Meanwhile, the government had notified of a tax demand of $2,763 crore.

On Saturday, Infosys Ltd reported receiving orders for assessment years 07-08 to 15-16, 17-18, and 18-19 from the Income Tax Department.

It said in a BSE filing that it was in the process of evaluating the implications arising from the orders on the company’s financial statements for the quarter and year ending March 31, 2024.

Information technology company Infosys is scheduled to release its financial results for the fourth quarter of the current fiscal year as well as the full fiscal year on April 18.

Bengaluru-based IT company TCS also said it has received orders for assessment years 22-23 with a tax demand of 2,763 crore, including interest, and 11-12 with a tax demand of 4 crore.

Information Technology has received assessment orders for subsidiaries totaling 277 crores as well.

Among these are assessment orders for assessment years 21-22 and 18-19, which total 145 crores; orders for assessment year 22-23 with 127 crores of tax demands; and orders for assessment year 22-23 entail 5 crores of tax demands — all inclusive of interest.

Infosys reported lower-than-expected quarterly profits for the December quarter on sluggish client demand. A net profit of €6,106 crore was reported by the company, compared to €6,586 crore the year before.

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