HYDERABAD: In a fresh twist to the Satyam scam, the Income Tax department on Tuesday froze the bank accounts of Mahindra Satyam after the latter failed to pay a tax of Rs 616.53 crore.
The department issued notice to Mahindra Satyam, the new brand identity of Satyam Computer Services Ltd, to pay Rs 616.53 crore in taxes, the company said in a stock exchange filing on Tuesday.
This demand for was raised on the basis of the income declared by the company during disgraced former chief Ramalinga Raju's time. The department refused to buy the line that Satyam had fictitious income and insisted it was real income.
Mahindra Satyam has now moved the Andhra Pradesh high court for a stay.
The company said the Central Board of Direct Taxes, under Section 119 of the Income Tax Act, 1961, rejected various petitions filed by the company seeking reliefs for reopening of past assessments for the Assessment Years 2003-04 to 2008-09; determining the actual income based on the findings of investigating agencies; and granting a stay on recovery proceedings for the said assessment years.
"Notice under Section 226(3) has been issued by the Additional Commissioner of Income Tax, Hyderabad, for recovery of Rs 616,53,92,660. The company filed a writ petition before the Hon'ble High Court of Andhra Pradesh, Hyderabad, challenging the said impugned order and seeking stay of further proceedings," the company said in a statement.
Shares of Satyam were being quoted at Rs 66.45 on the BSE in early trade on Tuesday.
The department issued notice to Mahindra Satyam, the new brand identity of Satyam Computer Services Ltd, to pay Rs 616.53 crore in taxes, the company said in a stock exchange filing on Tuesday.
This demand for was raised on the basis of the income declared by the company during disgraced former chief Ramalinga Raju's time. The department refused to buy the line that Satyam had fictitious income and insisted it was real income.
Mahindra Satyam has now moved the Andhra Pradesh high court for a stay.
The company said the Central Board of Direct Taxes, under Section 119 of the Income Tax Act, 1961, rejected various petitions filed by the company seeking reliefs for reopening of past assessments for the Assessment Years 2003-04 to 2008-09; determining the actual income based on the findings of investigating agencies; and granting a stay on recovery proceedings for the said assessment years.
"Notice under Section 226(3) has been issued by the Additional Commissioner of Income Tax, Hyderabad, for recovery of Rs 616,53,92,660. The company filed a writ petition before the Hon'ble High Court of Andhra Pradesh, Hyderabad, challenging the said impugned order and seeking stay of further proceedings," the company said in a statement.
Shares of Satyam were being quoted at Rs 66.45 on the BSE in early trade on Tuesday.
No comments:
Post a Comment