Blue Jet Healthcare faces INR 1.93bn tax demand

Blue Jet Healthcare (BSE:BLUEJET) has disclosed receipt of assessment orders and demand notices from the Income Tax Department, pertaining to Assessment Years 2020-21 through 2023-24. The total demand amounts to INR 1,93,38,55,250 (including interest), primarily stemming from the disallowance of depreciation on goodwill and subsequent set-off of unabsorbed depreciation. While the company believes its claim is supported by judicial precedents, including those of the Supreme Court, it is reviewing the order and intends to contest the demand with relevant authorities. Blue Jet Healthcare has conservatively accounted for the tax amount in its previous financial statements, excluding interest and penalties. The company stated that the delay in informing to the Stock Exchanges was due to the receipt of the demand letters late Saturday evening, necessitating time for review and evaluation by the Company.