I-T moves HC against tribunal for favouring LIC in Rs 5K cr tax cases

Life Insurance Corporation (LIC) on Tuesday said that the Income Tax Authority has filed an appeal with the Bombay High Court against the Income Tax Appellate Tribunal's decision to give the insurer relief in two tax disputes amounting to Rs 4,993 crore.

"Pursuant to the proviso to Regulation 30(4)(i)(d) read with Para B of Part A of Schedule III of the Listing Regulations, we wish to submit the details of litigation(s) with Income Tax Authority for which the Income Tax department has filed an appeal before the Bombay High Court against the decision of the Income Tax Appellate Tribunal. The communication in this regard was received on 17 October 2023," as per the exchange filing on Tuesday.

The litigation has been filed by the Principal Commissioner of Income Tax, Mumbai, for two claims: Rs 1,838.87 crore and Rs 3,153.97 crore from AY 2014.

These litigations will not have a material adverse effect on the corporation's financial position and results of operations, the insurer added.

The Income Tax Appellate Tribunal, Mumbai Bench had decided some issues in favour of the biggest insurer.

Recently, LIC received income tax penalty notices of Rs 290 crore in September and Rs 84 crore in October from GST officials.