GlaxoSmithKline Pharmaceuticals Limited (GSK) has received a Final Order from the TDS Authority, resulting in a demand liability totaling Rs 2.01 Crores for the Assessment Year 2020-2021. The order, dated March 31, 2026, specifies a TDS default under Section 201. GSK has stated that the demand—comprising Rs 1.11 Cr in TDS and Rs 0.90 Cr in interest—will have no immediate impact on financial statements as the company is currently in the process of filing an appeal against the assessment.
Regulatory Disclosure on Tax Demand
GlaxoSmithKline Pharmaceuticals Limited (GSK) has issued a formal disclosure regarding a recent directive received from the Tax Deducted at Source (TDS) Authority. The company confirmed receipt of a Final Order from the TDS Authority – INT Tax Circle 2(3)(2).
Details of the Demand Order
The core of the communication pertains to a TDS default noted under Section 201 of the Income Tax Act for the Assessment Year 2020-2021. The total liability quantified in the order is Rs 2.01 Crores. This amount is broken down as follows:
- TDS Default Amount: Rs 1.11 Crore
- Accrued Interest: Rs 0.90 Crore
The official Assessment Order under Section 201(1)/ 201(1A) was dated March 31, 2026, which is also the date the communication was received by the company.
Company Stance and Financial Impact
GSK has clearly stated its position regarding the implications of this order. Crucially, the company asserts that there will be no impact on the financial statements at this stage. This is because GSK is actively contesting the assessment order and is currently proceeding with the necessary steps to file an appeal before the designated appellate authority to challenge the liability.
Source: BSE
