Shares of Infosys were in focus on Monday, April 1, after the company announced that it would receive a tax refund of ₹6,329 crore from the Income Tax Department.
However, Infosys is also facing a substantial tax liability of ₹2,763 crore, as indicated by assessment orders.
Infosys shares commenced trading on the BSE on Monday at ₹1,521.25 apiece, marking a 1.5% increase from its previous closing price of ₹1,498.8. The upward momentum persisted, with the stock climbing approximately 2% to reach an intraday peak of ₹1,528 per share. Following the gain, the company’s market capitalisation reached ₹6.28 lakh crore.
The IT stock has surged more than 25% from its 52-week low of ₹1,215.45 on the BSE.
The Bengaluru-based IT giant, in a stock exchange filing on Saturday, informed that it has reaped a windfall gain of ₹6,329 crore from income tax refund orders covering 11 assessment years. The company confirmed that it received these refunds during the fourth quarter of the financial year 2023-24.
Furthermore, Infosys disclosed that the Income Tax Department has imposed a tax demand of ₹2,763 crore for the assessment year 2022-23, including interest, and for assessment year 11-12 with a tax demand of ₹4 crore, interest included.
“The company is in the process of evaluating the implications of these orders on the financial statements for the quarter and year ending March 31, 2024,” it said.
Infosys, a key player in the IT services market, is set to announce its financial results for the fourth quarter of the current fiscal year, as well as the full FY24, on April 18.
Shares of Infosys were trading 0.24% higher at ₹1,501.65 on the BSE at 11.15 am.
