Colgate-Palmolive India Faces Rs 248.74 Crore Tax Demand
Jul 28, 2024 18:51
Colgate-Palmolive (India) Ltd has received a Rs 248.74 crore tax demand notice from the Income Tax Authority for transfer pricing-related issues. The company plans to challenge the order.
New Delhi, Jul 28 (PTI) Colgate-Palmolive (India) Ltd has received a tax demand notice of Rs 248.74 crore from the Income Tax Authority in a transfer pricing-related issue.
The FMCG major said it will be challenging the order before the appellate tribunal.
Colgate-Palmolive India Ltd (CPIL), which operates in oral care and personal care, received notice on July 26, 2024, according to a regulatory filing by the company.
The income tax demand is for the financial year ended on March 31, 2021, for transfer pricing-related issues.
"The Company has received a Final Assessment Order for Assessment Year (AY) 2020-21 carrying a demand amounting to Rs 248,74,78,511/-," it said. The said demand includes interest amounting to Rs 79.63 crore, CPIL added.
"The company will be filing an appeal before the Income Tax Appellate Tribunal against the said order," said CPIL adding "There is no impact on financial operations or any other activities of the Company due to this order."
The demand is mainly due to transfer pricing-related issues.
"It may be noted that these are standard disallowances in line with the disallowances in prior assessment years against which the Company has already filed an appeal," it added.
CPIL had net sales of Rs 5,644 crore in FY2023-24.
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