Dalmia Cement (Bharat) Limited (“DCBL”), a subsidiary of Dalmia Bharat, has received an order dropping the entire tax and penalty demand of approximately ₹69 Crore for FY 2017-18. The Commercial State Tax Officer, Lalgudi, Ariyalur, Trichy, Tamil Nadu, issued the order on October 16, 2025, following a re-examination based on the direction of the Madras High Court.
Favorable Order Received
Dalmia Cement (Bharat) Limited (“DCBL”), a wholly owned subsidiary of Dalmia Bharat, has received a favorable order regarding tax adjudication for the financial year 2017-18. This announcement confirms that a significant tax demand has been entirely dropped.
Details of Dropped Demand
The Commercial State Tax Officer, Lalgudi, Ariyalur, Trichy, Tamil Nadu, has dropped the demand for tax and penalty, which totaled ₹62,37,57,008 and ₹6,23,75,701 respectively. The total amount aggregates to approximately ₹69 Crore. This action comes after DCBL submitted necessary documents following directions from the Hon’ble High Court of Madras (Madurai Bench) in WP(MD) No. 1644 of 2024.
Background and Context
The initial tax demand was previously confirmed by the State Tax Officer, Lalgudi Assessment Circle. The recent order, dated October 16, 2025, effectively nullifies the previous demand following a re-examination of the matter. This development signifies a positive outcome for Dalmia Bharat and its subsidiary.
Source: BSE
