Niva Bupa Health Insurance Company has received a Notice of Demand under Section 156 read with Section 143(3) of the Income Tax Act, 1961 for the assessment year 2022-23, demanding a sum of ₹ 16,71,21,120/-, according to the regulatory filing.
The addition was made to the total taxable income on account of the disallowance of certain marketing and advertisement expenses as inadmissible under Section 37(1) of the Act; disallowance of provision of claims incurred but not reported (IBNR) and claims incurred but not sufficiently reported (IBNER).
The Insurance Company is set to challenge the order before an appropriate authority. “The Notice of Demand is appealable and the Company shall exercise its right to appeal before the Appellate Authorities,” Niva Bupa Health Insurance said in the same regulatory filing.
The Company received the notice of demand on March 31, 2025.
Source #ET
