Snowman Logistics Limited announced a significant reduction in its income tax demand for the assessment year 2018-19. The company received a rectification order from the Income Tax Department, revising the initial demand of ₹16.24 crore to ₹51.93 lakh. This development comes after Snowman Logistics filed an application under section 154 of the Income Tax Act.
The shares of Snowman Logistics Limited were trading at ₹82.08 down by 1.35 or 1.62 per cent on the NSE today at 1.55 pm.
The company stated that its contention was found to be correct, leading to the rectification. However, Snowman Logistics believes that even the revised amount is not payable, citing certain credits that have not been provided for. The company has filed an appeal against the revised demand.