Meesho shares fell off a cliff, dropping almost 10% after receiving Rs 1,500 crore income tax demand. The e-commerce giant reported to exchanges on last Thursday. The Rs 1,500 crore demand was raised for financial year 2023-2024.
The shares of meesho went to touch day low of Rs. 143.34 per share on the exchanges after hitting the opening bell at 147.05 apiece with decline of almost 10% on BSE.
Also Read: Meesho Q3 Net Loss Widens To Rs 491 Crore
Tax notice
The directive, issued in accordance with Section 143(3) of the Income- tax Act, 1961, along with a demand notice under Section 156 dated March 5, pertains to modifications made to the income declared by the company. Meesho stated it obtained the directive and notice on March 6, in a communication to the exchanges. The total demand amounts to Rs 1,499.73 crore, inclusive of applicable interest.
The Income Tax Department's Assessment Unit issued its directive following “certain additions/adjustments to the income reported by the Company” for the fiscal year 2023–24, as stated by the company in its filing to the exchange.
Meesho indicated that it is reviewing the directive and intends to challenge the demand. “The Company is currently evaluating the Assessment Order and does not concur with the observations and adjustments made in the Assessment Order,” the Bengaluru-based e-commerce giant stated in a communication to the exchanges.
Also Read: Meesho Gets Income Tax Order With Rs 1,500 Crore Demand For AY24
Meesho Q3 FY26
The online retail company reported expenditures nearing Rs 4,071 crore, with 'additional costs' amounting to Rs 3,821.3 crore, roughly making up 94% of the overall figure for the December quarter of FY26.
Meesho saw a 31% rise in operational revenue, reaching Rs 3,517.5 crore during the quarter, up from Rs 2,678.64 crore in the December 2024 period.
Current price
Meesho shares were trading at around Rs 143.40 per share on the BSE, with a decline of about 9.94% totalling to Rs 15.83 per share.
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