Karur Vysya Bank has received an order from the Commissioner of Income Tax (Appeals) concerning an appeal filed against a demand raised by the Income Tax Department for AY 2022-23. The order has partly allowed the bank’s appeal. The bank is now in the process of challenging this order in the appropriate forum within prescribed guidelines. Further disclosures are provided as per SEBI circulars.
Update on Tax Litigation
Karur Vysya Bank (KVB) has announced an update regarding an order received from the Commissioner of Income Tax (Appeals). This follows an appeal filed by the bank against a demand issued by the Assessment Unit of the Income Tax Department. The demand was related to the Assessment Year (AY) 2022-23, pertaining to the Financial Year (FY) 2021-22.
Outcome of the Appeal
The order from the Commissioner of Income Tax (Appeals) has partly allowed the appeal that was filed by KVB. The bank is currently in the process of challenging this received order in the appropriate legal forum, adhering to all prescribed guidelines. This action is part of the bank’s strategy to contest the demand raised by the tax authorities.
Disclosure Requirements
In accordance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and further disclosures as mandated by a SEBI Circular dated January 30, 2026, the necessary information is being provided. This announcement serves as a continuation of earlier communication dated April 03, 2024.
Details of the Litigation
Opposing Party and Initiation Date
The opposing party in this matter is the Faceless Assessing Officer, National Faceless Assessment Unit. The litigation was initiated on 12/04/2024.
Status as per Last Disclosure
The last disclosure indicated the intimation of receipt of a demand order and the subsequent filing of an appeal before the first appellate authority.
Current Status of Litigation
The bank has now received an order from the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, which partly allowed the appeal. This appeal was against a demand of Rs. 40.34 crore raised by the Assessment Unit. Based on precedents and appellate authorities’ orders, KVB believes it has strong grounds to substantiate its position and expects the entire demand to be set aside. Consequently, the bank anticipates no impact on its financial operations or other activities.
Source: BSE
