Government-owned e-commerce service provider MSTC Ltd on Friday (February 28) said it has received a ₹105.55-crore demand notice from the Income Tax Department under Section 156 of the Income Tax Act, 1961, for assessment year 2019-20.
“… it is to inform that the company has received Notice of demand under section 156 of the Income Tax Act, 1961 from Income Tax Department,” MSTC said in a regulatory filing.
The total demand includes ₹42.45 crore in interest. The company stated that the notice will not have any material impact on its financial or operational activities. MSTC plans to challenge the assessment and will file an appeal before the Commissioner of Income Tax (Appeals) [CIT(A)], Kolkata.
“The Income tax department has raised demand for the Assessment Year 2019-20 of an alleged sum of ₹105.55 crores, which includes interest of ₹42.45 crores,” it said.
MSTC reported a 506.04% year-on-year (YoY) jump in net profit at ₹250.9 crore for the third quarter that ended December 31, 2024. In the corresponding quarter of the previous fiscal year, MSTC posted a net profit of ₹41.4 crore.
The company reported an exceptional gain of ₹275.5 crore in Q3FY25 compared to a loss of ₹1.9 crore in the same quarter last year. The company’s revenue from operations increased 12.8% to ₹81.1 crore against ₹71.9 crore in the year-ago period.
At the operating level, EBITDA surged 18.5% to ₹48.7 crore in the third quarter of this fiscal year from ₹41.1 crore YoY, while the EBITDA margin expanded to 60.1% from 57.2% in the corresponding period of the previous fiscal year.
Source from: https://www.cnbctv18.com/market/stocks/mstc-share-price-income-tax-demand-19566591.htm
