Akums Drugs, subsidiary Akumentis Healthcare face ₹134 crore Income Tax demand

Leading contract manufacturing drug firm Akums Drugs and Pharmaceuticals Ltd on Wednesday (May 20) said its subsidiary Akumentis Healthcare Ltd and the company have received assessment orders under Section 158BC of the Income Tax Act, 1961, for the block period from April 1, 2018, to March 12, 2025.

Akums Drugs received a tax demand of ₹60.09 crore, while Akumentis Healthcare Ltd received a demand of ₹73.66 crore. The demands arise on account of the disallowance of various expenditures under Section 37(1) of the Income Tax Act, 1961.

The orders were issued by the Income Tax Department, Office of the Deputy Commissioner of Income Tax, Central Circle 1, New Delhi. The Akums order is dated May 20, 2026 and was received on the same day, while the AHL order is dated May 19, 2026 and received on May 20, 2026.

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The company stated that, based on internal assessment, it does not expect the orders to have any material financial impact as the demands are not sustainable in law and are defendable on the facts. Akumentis Healthcare made a similar assessment.

Both Akums Drugs and Akumentis Healthcare said they will pursue appeals against the orders under applicable laws. The communication relates to disallowances under Section 37(1) of the Income Tax Act, 1961.

Shares of Akums Drugs and Pharmaceuticals Ltd ended at ₹513.00, down by ₹6.70, or 1.29%, on the BSE.

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