SML Isuzu Limited — Important, 21-11-2024: General Updates

A Show Cause Notice has been received by SML ISUZU from the Income Tax Department regarding its assessment of the Arm’s Length Price for an international transaction related to the assessment year 2022-23. The authority disputes the company's adopted pricing method and proposes an adjustment of ₹160.85 crore, along with potential penalty proceedings.

The company believes the proposed approach is fundamentally flawed and plans to respond appropriately. Importantly, the company indicates that the notice is not expected to significantly affect its financial or operational activities. Stakeholders should continue to monitor the situation, considering the potential implications of the tax review.