Hero MotoCorp gets additional tax demand of Rs 26.4 crore

Hero MotoCorp Ltd has received an additional tax demand of Rs 26.40 crore from the Income Tax Department for the assessment year 2020-21, the company said in a filing to stock exchanges.

“The company had filed its income tax return for the Assessment Year 2020-21 on December 31, 2020, which was examined by the tax officer in detail as per the provisions of the Income Tax Act, 1961. The tax officer has made the additions to the reported income to the tune of around Rs 96.50 crore resulting in an additional tax demand of Rs 26.40 crore,” Hero MotoCorp said.

The company noted that it is examining the order/ notice and shall take appropriate steps, including filing of appeal and rectification application. The management believes that the tax demand raised is unsustainable in nature and is unlikely to have material impact on the financials, operations, or other activities of the company.