Puravankara Limited has successfully received favourable appellate orders from the Commissioner of Income Tax (Appeals) regarding previously disallowed tax deductions. These orders, received on May 4, 2026, pertain to assessment years 2010-11, 2013-14, and 2014-15. The decision validates the company’s claims under Section 80-IB of the Income-tax Act, 1961, resulting in a substantial reduction in the company’s total tax liability and associated interest payments across the three periods.
Details of Tax Relief
The company announced that the Commissioner of Income Tax (Appeals) has adjudicated in its favour, overturning previous disallowances made by the assessing authority regarding Section 80-IB tax deductions. This resolution provides much-needed clarity and fiscal relief to the company’s historical tax assessments.
Financial Impact Summary
The positive outcome has resulted in the allowance of previously disputed deductions, directly reducing the company’s tax burden. The financial impact across the three assessment years is detailed as follows:
- Assessment Year 2010-11: Deduction allowed on Rs. 19.61 crores, leading to a tax liability reduction of Rs. 6.67 crores plus interest.
- Assessment Year 2013-14: Deduction allowed on Rs. 39.03 crores, leading to a tax liability reduction of Rs. 12.67 crores plus interest.
- Assessment Year 2014-15: Deduction allowed on Rs. 24.73 crores, leading to a tax liability reduction of Rs. 8.41 crores plus interest.
This development concludes the disputes for these specific years, reinforcing the company’s financial position regarding its claims under the Income-tax Act.
Source: BSE
