Bank of India announced on March 31 that it has received a demand notice amounting to Rs 1,128 crore from the Assessment Unit of the Income Tax Department, relating to the assessment year 2016-17.
".... this is to inform that, on 30.03.2024 at 5.51 PM, the Bank has received a demand notice from the Assessment Unit, Income Tax Department, pertaining to AY 2016-17," said Bank Of India in its stock exchange filing.
The lender said the notice, dated March 30, 2024, is related to certain disallowances made under section 156 of the Income Tax Act, 1961.
In its stock exchange filing, the state-owned bank clarified that the demand notice has no immediate impact on its financial, operational, or other activities. Bank of India stated that it is currently in the process of appealing with the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC) against the mentioned order.
The bank also said, based on the precedents and rulings of Appellate Authorities, it is confident that it possesses sufficient factual and legal grounds to support its stance on the issue reasonably. Consequently, the bank expects the entire demand to subside.
In the previous trading session on March 28, the scrip settled at Rs 137.05 apiece at the NSE, which was 3.90 percent higher (or Rs 5.15) as against the previous day's close.
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