SBI Life Insurance Company Ltd. announced on Wednesday that it has been issued an Income Tax Order, imposing a penalty of ₹23.80 crore. The order, issued under Section 270A by the Assessment Unit of the Income Tax Department, concerns the Assessment Year 2018-19.
“…this is to inform that the Company has received an Order u/s 270A from the Income Tax Department on March 26, 2025 at 01.23 am. The aforesaid Income Tax Order will have no adverse material impact on the financial operations of the company, and the same shall be contested by the Company by way of an appeal before the appellate authority,” stated SBI Life Insurance in a regulatory filing.
The company indicated that the tax demand and interest for the period stand at nil. The penalty arises from the tax authority’s alleged incorrect addition of allowable expenses under the Income Tax Act of 1961. SBI Life has asserted that the order will not significantly impact its financial operations, and the company intends to challenge the penalty through a rectification request and an appeal to the Appellate Authority.
In market activity, shares of SBI Life Insurance Company Ltd. closed at ₹1,548.15, down ₹8.25, or 0.53%, on the BSE.
