Income Tax Department takes big action on Indigo!
The Income Tax Department has taken a big action on the airline company indigo and imposed a fine of Rs 944.20 crore. The company has termed this order as wrong and said that it will challenge it in the court. This notice of the Income Tax Department was received by Indigo's parent company InterGlobe Aviation on Saturday.
What is the matter?
In a regulatory filing on Sunday, indigo said that the Assessment Unit of the Income Tax Department (Income Tax Authority) has passed an order imposing a fine of Rs 944.20 crore for 2021-22.
It further said, this order has been passed on the basis of the wrong understanding that the appeal filed by the company against its 143(3) order has been rejected by the Income Tax Commissioner (Appeals) CIT(A), whereas the truth is that the matter is pending and a decision is yet to be taken on it.
Indigo's shares fall
According to the documents filed, the company is confident that the order passed by the Income Tax Authority is not in accordance with the law and is erroneous. indigo has decided to take appropriate legal action against this order. The company has also said that this order will not have any significant impact on its financial position, operations or other activities. However, due to this, Indigo's shares have fallen marginally.
Indigo's stock closed at Rs 5,100 with a fall of 0.54 percent on Friday. The company's stock has jumped by about 14 percent in the last one month. Its stock has given investors a return of 6.5 percent in the last 6 months and up to 43 percent in one year. On the other hand, if we talk about the long term of five years, it has given a return of up to 400 percent.
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