Dabur India shares rise after tax demand order reduces to ₹272 crore

Shares of Dabur India Ltd. gained on Wednesday, September 34, after the company said its tax demand order has been reduced to ₹272 crore from ₹321 crore.Dabur said on September 23, it received orders from the jurisdictional assistant commissioner/s who passed orders in compliance with the remand directions issued by the CGST Appeals Commissionerate, Chandigarh, confirming the reduction in the tax demand.

Dabur said it is seeking legal opinion and will take the appropriate steps available under the applicable laws, including filing an appeal with the tribunal.

It added that there is no impact on its operation or other activities due to the order. The financial impact would be limited to the extent of final tax liability as may be ascertained by higher forums, along with interest and penalty, it said.Shares of Dabur Ltd. were trading 1.7% off their day’s low after the announcement. The move is also in line with the recovery seen in other FMCG stocks like HUL, Britannia and Godrej Consumer Products, among others.

The stock was trading 0.7% up at ₹518.5 apiece around 1.10 pm. The stock has gained 2.2% in the last six months.

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