MSTC Limited Challenges Income Tax Demand of ₹178.40 Crores
MSTC Limited, a prominent player in the e-commerce sector, has recently announced its intention to contest a substantial tax demand raised by the Income Tax Department. The demand pertains to the Assessment Year (AY) 2024-25 and totals ₹178.40 crores, which includes an interest charge of ₹27.85 crores under sections 201(1) and 201(1A) of the Income Tax Act, 1961.
Details of the Tax Demand
The notification regarding the tax demand was officially received by MSTC on April 16, 2025. The company has indicated that it regards this demand as subject to appeal and plans to pursue the challenge through the appropriate legal channels.
Company’s Response
MSTC Limited has expressed confidence in contesting the demand. In a regulatory filing, the company stated, “The demand is appealable and the company will appeal against the demand before the appropriate authority.”
Background on MSTC Limited
MSTC Limited is known for its diverse offerings in the e-commerce domain, particularly in facilitating trade across various sectors. This recent tax issue highlights the challenges companies can face within the regulatory framework.
Conclusion
The pending appeal from MSTC against the income tax demand will be closely monitored as it unfolds. The outcome could have implications not only for the company but also for other enterprises operating in the sector.
