Private bank Bandhan Bank Limited on Wednesday (March 26) said it has received an income tax demand order of ₹119.38 crore from the Income Tax Department’s Faceless Assessment Unit for assessment year 2023-24 (FY2022-23).
“…it is hereby informed that the Income Tax Department, Faceless Assessment Unit, has issued an assessment order under Section 143(3) read with 144B of the Income Tax Act, 1961, resulting into a tax demand order under Section 156 of the Income Tax Act, 1961, against Bandhan Bank Limited (‘Bank’), in respect of Scrutiny assessment for AY 2023-24 on Income Tax matter,” Bandhan Bank said in a regulatory filing.
The tax demand, which includes applicable interest, was issued under Section 143(3) read with Section 144B of the Income Tax Act, 1961, following the completion of a scrutiny assessment. The bank received the order on March 25, 2025.
The demand is related to disallowances of certain expenditure and deductions claimed by the bank under various provisions of the Income Tax Act. Bandhan Bank has stated that it is in the process of filing an appeal before the higher appellate forums within the prescribed timelines.
The bank believes it has strong legal and factual grounds to contest the order and expects a substantial portion of the demand to be reversed. Despite the tax demand, Bandhan Bank has clarified that there is no impact on its financial operations or other activities.
