SRF Ltd Rejects ₹327 Cr Tax Demand, Cites Error in Filing

SRF Ltd announced on Tuesday, April 7, 2026, that it has been issued a tax demand totaling ₹327.44 crore for the 2022-23 assessment year. The company clarified that this demand stemmed from a technical error in an order by the Income Tax Department's Assessment Unit.

Specifically, additions of ₹30.54 crore were made to the company's taxable income. However, due to a technicality, the overall demand, including ₹101.77 crore in interest under Section 234B, was incorrectly calculated. SRF has proactively filed a rectification application with the Assessing Officer on March 10, 2026.

In parallel, as a precautionary step, SRF lodged an appeal with the Income Tax Appellate Tribunal (ITAT) on March 19, 2026. The management firmly believes this demand lacks legal grounding and anticipates its reversal once the technical error is rectified.

The company has assured stakeholders that this situation will not cause any immediate disruption to its financial, operational, or other business activities. The disclosure was made according to SEBI regulations, emphasizing the demand's origin from a technical oversight rather than a material misstatement.