Xchanging Solutions Limited — Important, 12-02-2025: General Updates

The Company has recently received an order from the Income Tax Department concerning a previous assessment. The assessment, related to the fiscal year AY2016-17, has led to the deletion of Transfer Pricing adjustments amounting to Rs. 4.30 crore (cr) and an additional Rs. 0.50 crore (cr). However, the Assessing Officer raised a demand of Rs. 5.85 crore (cr) due to erroneous tax computation, including incorrect income consideration and improper credit for TDS and advance tax.

The Company plans to file for a stay on the demand and rectify the application addressing these discrepancies. Importantly, this order is not expected to have any material impact on the Company’s financials or operational activities. Investors should monitor the situation closely as the resolution of this matter could affect financial stability, though currently, there appears to be no adverse immediate financial implications.