Zydus Wellness Limited announced today that its wholly-owned subsidiary, Zydus Wellness Products Limited (ZWPL), has received a tax demand of ₹10.51 million from Bihar state authorities. The Office of Assistant Commissioner of State Tax, Patna Special, issued an order alleging short payment of tax for the fiscal year 2019-20 due to excess input tax credit claims.
The shares of Zydus Wellness Limited were trading at ₹2,155.10, down by ₹14.85 or 0.68 per cent on the NSE, today at noon.
The order, received on September 17, 2024, includes a penalty of ₹0.55 million. ZWPL maintains there is strong merit in its case and is exploring options to contest the demand, including filing an appeal. The company stated that the order does not impact its financial or operational activities, and any potential impact would be limited to the final tax liability, interest, and penalties, if applicable.
This development follows the merger of Heinz India Private Limited with ZWPL.