Alkem Laboratories Limited — Others, 28-12-2024: Action(s) taken or orders passed

Alkem Laboratories has received re-assessment orders from the Income Tax Authority for the assessment years 2018-19 and 2019-20, disallowing part of a deduction claimed under Section 80IE, amounting to Rs. 74.29 Crore. Notably, the company has no cash outflow implications due to the utilization of available MAT credit, and it does not anticipate any material impact on its operations. Alkem believes it has strong grounds to contest the orders and plans to appeal. This situation may evoke a neutral response from investors as the company maintains its financial health despite the ongoing dispute.