The company does not expect any major financial impact. It believes the order contains mistakes and is confident about fixing the issue through legal remedies.
Nidhi | Mar 24, 2026 |
Kokuyo Camlin Receives Rs 162.97 Crore Income Tax Demand
Kokuyo Camlin, one of the oldest stationery companies, has recently issued a regulatory filing informing the receipt of an Income Tax Assessment Order raising a heavy demand of over Rs 162 crore.
Background of the Case
The matter is related to Assessment Year 2018-19, for which the Income Tax Department has alleged mismatches in balances of certain trade creditors. These were treated as unexplained liabilities, leading to additions in taxable income under section 115BBE of the Income Tax Act. The order also includes the calculation of book profits under Section 115JB (MAT). As a result, the tax authorities have raised a demand of Rs 1,62,96,90,500 (including interest under sections 234A, 234B, 234C and 234D) against Kokuyo Camlin.
Key Details of Order
| Particulars | Details |
| Issuing Authority | Income Tax Department (National Faceless Unit) |
| Order Type | Assessment Order under Sections 147/143(3) read with Section 144B |
| Date of Receipt | March 21, 2026 |
| Tax Demand | Rs 1,62,96,90,500 (including interest) |
Next Step of Company
Kokuyo Camlin does not agree with the order, and based on the preliminary assessment, it believes that there are errors in the recomputation of income and book profits. The company has said that it is in the process of evaluating the order.
At first, it will file a rectification application for the correction of the error. If needed, it will take legal action and file an appeal before the appropriate authority.
Financial Impact
At present, the company does not expect any major financial impact. It believes the order contains mistakes and is confident about fixing the issue through legal remedies.
Company’s Disclosure Compliance
The above disclosure was given by Kokuyo Camlin Ltd. to the NSE and BSE under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
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