Syngene International Limited announced the successful resolution of tax penalty proceedings related to Assessment Year (AY) 2018-19. The National Faceless Assessment Centre passed an order on March 13, 2026, dropping the penalty proceedings initiated earlier. This follows a prior appellate ruling that granted relief of Rs.2,78,45,669/-, resulting in no penalty or restriction being imposed in the current order.
Resolution of AY 2018-19 Tax Matter
Syngene International Limited has confirmed receiving an order dated March 13, 2026, from the National Faceless Assessment Centre concerning the tax litigation for Assessment Year (AY) 2018-19. This final order concludes the penalty proceedings that had been initiated previously.
Chronology of Tax Relief
The sequence of events leading to this resolution is as follows:
- Initially, an order dated March 27, 2023, mandated a disallowance of expenses amounting to Rs.2,78,45,669/-, alongside a notice proposing a penalty under section 270A.
- The Company appealed this order before the National Faceless Appeal Centre. On February 14, 2025, the Appeal Centre directed the Assessing Officer to review the details and allow relief of Rs.2,78,45,669/-.
- The Assessing Officer subsequently passed an order on September 11, 2025, giving effect to the appellate relief.
- The culmination of this process is the latest order from the National Faceless Assessment Centre on March 13, 2026, which officially drops the penalty proceedings initiated in 2023.
Implications and Current Status
In relation to the order received on March 13, 2026, the Company confirms there are No penalty / restrictions / sanction imposed in the present order. The Company believes there will be no material impact on its financials, operations, or activities resulting from this resolution. Furthermore, no further action is required by the Company as the penalty proceedings have been successfully dropped.
Source: BSE
