Mphasis received an income tax demand of ₹151.73 crores for assessment year 2020-21 under sections 201, 201(1A), and 156 of the Income Tax Act.
The demand relates to TDS on overseas payments made to foreign associated enterprises and interest thereon, flagged under scrutiny assessment.
Management believes the claims are not maintainable and is evaluating legal remedies including filing an appeal; no penalty or sanction imposed.