Income Tax Department Issues ₹2,160-Crore Draft Assessment Order to Maruti Suzuki India
Maruti Suzuki India, leading automobile company, recently disclosed receiving a draft assessment order from the Income Tax department concerning pending dues amounting to ₹2,160 crore for the financial year 2019-20. The company stated its intention to file objections before the Dispute Resolution Panel in response to this order. Despite this development, Maruti Suzuki affirmed that the order would not impact its financial, operational, or other activities.
A draft assessment order, a document issued after the completion of assessment proceedings, provides crucial details such as total income or loss, tax payable or refundable, and other pertinent information related to the assessed period. Notably, this order was issued on October 3, a day after Maruti Suzuki India reported its highest-ever monthly sales in September 2023. The company experienced a 2.8 percent YoY increase in total wholesales, reaching 181,343 units, compared to the 176,306 units dispatched to dealers during the same month the previous year.
In the first quarter of FY24, Maruti Suzuki India demonstrated remarkable financial performance, recording a net profit of ₹2,525 crore—more than double the ₹1,036 crore reported in the corresponding period of the previous year. The company’s total revenue from operations in Q1 rose to ₹32,338 crore, up from ₹26,512 crore in the same period last fiscal year.
Despite this news, Maruti Suzuki India’s stock price settled at ₹10,340.90 apiece on the BSE in the October 3 trading session, reflecting a 2.46 percent decrease compared to the previous day’s closing price.
