IndiGo fined ₹944 crore by Income Tax Dept, calls order ‘erroneous’
New Delhi: InterGlobe Aviation Ltd, the parent company of IndiGo, has received a ₹944.20 crore fine from the Income Tax Department for the Assessment Year 2021-22, media reports said.
However, the airline dismissed the penalty as "erroneous and frivolous", stating that it would challenge the order through legal means, reported India Today.
IndiGo clarified that the penalty was imposed due to an incorrect assumption that its appeal before the Commissioner of Income Tax (Appeals) had been dismissed, whereas it remains pending adjudication.
"The company strongly believes that the order passed by the Income Tax Authority is not in accordance with law and is erroneous and frivolous. Accordingly, the company will contest the same and shall take appropriate legal remedies against the aforesaid order. Therefore, the said order does not have any significant impact on financials, operations or other activities of the company," it added.
The airline assured investors that the penalty would not affect its financial health, operations, or business activities.
Following the news, IndiGo’s stock fell 0.32% to ₹5,113 but has gained 11.36% year-to-date. Investor confidence remains strong, driven by the airline’s expansion plans. As of December 2024, promoters held a 49.27% stake in the company.
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