Zinka Logistics Solutions Limited, operating under the brand BLACKBUCK, has received an order from the Assistant Commissioner of Income Tax (TDS), Bengaluru, confirming a demand of ₹28.56 lakh for the financial year 2017-18. The order, dated February 8, 2025, but received by the company on July 7, 2025, pertains to the non-deduction of tax at source (TDS) on certain expenses. The company has stated its intention to file an appeal against the order, asserting that it has a strong case on merits.
| Regulatory Order Details | |
| Particulars | Details |
| Authority Issuing Order | Assistant Commissioner of Income Tax (TDS), Bengaluru |
| Nature of Order | Demand under Sections 201(1) and 201(1A) of the Income-tax Act, 1961 |
| Reason for Demand | Non-deduction of tax at source on certain expenses |
| Financial Year Pertaining to Order | 2017-18 |
| Total Demand Payable | ₹28,55,872 (Rupees Twenty-Eight Lakh Fifty-Five Thousand Eight Hundred Seventy-Two only), inclusive of applicable interest |
| Date of Order | February 08, 2025 |
| Date of Receipt by Company | July 07, 2025 |
Regulatory Order Details
The demand order, issued under Sections 201(1) and 201(1A) of the Income-tax Act, 1961, highlights the company’s alleged failure to deduct tax at source on specific expenses. These expenses were identified as liable for TDS in the company’s Tax Audit Report (Form 3CA) for the financial year 2017-18, in accordance with Section 44AB of the Act. The total demand, including applicable interest, amounts to ₹28,55,872. The company received this communication on July 7, 2025, despite the order being dated February 8, 2025.
Company’s Stance and Next Steps
Zinka Logistics Solutions Limited has expressed confidence in its position regarding the tax demand. The company believes it possesses a strong case on merits to contest the order. Consequently, BLACKBUCK intends to file an appeal against this order before the appropriate authority. This move underscores the company’s commitment to challenging what it perceives as an incorrect assessment. The disclosure of this event was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI circular no. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023.
Financial Implications and Shareholder Impact
Despite the demand amount, BLACKBUCK has stated that the order has no material financial implications for the company. The demand of ₹28.56 lakh, while significant in absolute terms, is considered by the company to be manageable and not expected to materially impact its overall financial health or operational stability. The company’s decision to appeal suggests that it does not anticipate this demand to result in a final outflow of funds, pending the outcome of the appeal process. For shareholders, the immediate impact is likely minimal, given the company’s assertion of no material implications and its proactive stance to appeal the order. Such regulatory demands are a part of the operational landscape for large corporations, and the company’s response indicates a standard legal recourse.
Compliance and Transparency
The company has ensured compliance with regulatory requirements by promptly disclosing the receipt of this order to both the National Stock Exchange of India Ltd. and BSE Limited. This information is also made available on the company’s official website, www.blackbuck.com, reinforcing its commitment to transparency with its stakeholders and the broader market. The communication was signed by Barun Pandey, Company Secretary and Compliance Officer, on July 8, 2025.
