The State Bank of India has received a Rs 6,337.5 crore tax demand from the Income Tax Department, as per an exchange filing on Friday. The demand has been raised for assessment year 2023-24, the filing added.
"State Bank of India (‘the Bank') has received an Order dated 19.03.2026 under Section 143(3) read with section 144C(3) and 144B of the Income Tax Act from the Assessment Unit, Income Tax department, in terms of which a demand of Rs 63,37,52,52,550/- (including interest) has been raised pursuant to the scrutiny assessment proceedings conducted for AY 2023-24," the filing stated.
The filing highlighted that the assessment unit has made disallowances on various grounds and that the Bank is already in litigation on similar grounds in previous years.
SBI also said that since the aggregate amount involved in the above order exceeds the materiality threshold, the matter is being reported.
"The Bank will take appropriate steps, including contesting the Order before appellate authorities within the prescribed timelines," the filing underlined.
SBI Q3FY26
State Bank of India reported a net profit of Rs 21,028 crore in the December quarter of the financial year ending March 2026, representing a 24.5% jump from a year ago period and beating the street estimate of Rs 17,809 crore.
It was a strong quarter for the lender, with profit and asset quality metrics beating estimates while sequential provisioning came down. Net interest margins, at 3%, were in line with street estimates.
The bank's Net Interest Income (NII) registered growth of 9% on a year-on-year basis, reaching Rs 45,190 crore. This is a slight beat compared to the street estimate of Rs 44,970 crore.
On the asset quality front, the bank showed significant improvement. The Gross Non-Performing Assets (NPA) ratio improved to 1.57% from 1.73% in the previous quarter, while net NPA improved from 0.42% to 0.39% during the same period.
The lender was able to trim its provisions 16.5% on a quarter-on-quarter basis to Rs 4,507 crore compared to Rs 5,400 crore in Q2.
SBI Share Price
SBI's stock ended 0.87% higher at Rs 1058 apiece on the NSE. This compared to a 0.49% advance in the Nifty index.
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