Mankind Pharma hit with over Rs 341 crore additional tax demand from IT authority
New Delhi: Mankind Pharma Limited has disclosed the receipt of orders from the IT Authority, raising additional tax demands (including interest) of Rs 341.86 crore.
The order pertains to assessment years 2018–19, 2020–21, and 2022–23 and was received by the company through the Income Tax Portal on May 13 and 14, 2025.
"The IT Authority vide reassessment / assessment orders has raised additional tax demands (including interest) of INR 341.86 crores under Section 147 read with Section 144C(3) / under section 143(3) read with Section 144C(3) of the Income-tax Act, 1961 (‘the Act’) on account of adjustment made u/s 80IC/80IE of the Act and disallowance of various expenditures u/s 37(1) of the Act," the Company stated in a BSE filing.
Mankind Pharma believes that the demands under the above-referred Orders are not tenable in law.
The Company has adequate factual and legal grounds to substantiate its position and does not expect any material impact on financials or operations of the Company due to the said orders.
The Company would pursue appeal against the said orders under the applicable laws.
In addition to above, in determining the aforesaid demand, the IT authorities have not considered credit of certain prepaid taxes pertaining to M/s. Lifestar Pharma Private Limited and Magnet Labs Private Limited, which have been merged with the Company w.e.f 01-04-2021, in relation to AY 2022-23. The Company is in the process of filing rectification petition for the aforesaid year, for reduction of demand to the extent of prepaid taxes along with interest thereon.
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Founded in 1991 and commenced operation in 1995, Mankind Pharma is a pharmaceutical company engaged in developing, manufacturing and marketing a diverse range of pharmaceutical formulations across various acute and chronic therapeutic areas, as well as several consumer healthcare products.
