The Income Tax Department has asked Alembic Group of Companies to pay Rs. 20 crore tax dues within this financial year.
I-T Commissioner Krishna Saini said a survey had revealed an under-statement of Rs. 102 crore in profits. He, however, clarified that the department had not conducted any raid on Alembic.
We verified transactions related to Shreno Ltd, and based on certain documents, found that some of the deductions claimed were scaled down and certain expenses were re-allocated between tax-exempt unit and domestic unit. Alembic has now agreed to pay the tax amount of Rs. 20 crore within this financial year, said Saini.
Haren Patel, Manager, Administration, Alembic said there were continuous discussions between the I-T Department and the company.
We would like to clarify that there has been no diversion of funds from the company nor any undisclosed income. The figure given by the I-T Department includes Rs. 38 crore of the regular income of the current year on which advance taxes are being paid regularly, and Rs. 20 crore of capital gain in another group company.
This is yet to accrue as no sales have taken place. We have agreed to pay Rs. 3.02 crore for the past liabilities. Other group companies will pay Rs. 5.55 crore, said Patel.