I-T dept slaps Rs 944 crore penalty on IndiGo parent

IndiGo’s parent company, InterGlobe Aviation, faces a Rs 944.2 crore penalty imposed by the Income Tax department for the Assessment Year 2021-22. The company described the order as erroneous and plans to pursue legal remedies, stating it will not significantly impact its financials, operations, or other activities. The dispute arises from an appeal still pending adjudication.

NEW DELHI: The Income Tax department on Saturday (March 29) imposed a penalty of Rs 944.2 crore on IndiGo parent InterGlobe Aviation, the company said in a regulatory filing. Describing this order as “erroneous and frivolous”, the filing adds IndiGo “will contest the same and shall take appropriate legal remedies against the aforesaid order” and “therefore, the order does not any have significant impact on financials, operations or other activities of the company.”
“The Income Tax Authority has passed an order imposing a penalty of Rs 944.2 crore for Assessment Year 2021-22. The order has been passed on the basis of an erroneous understanding that appeal filed by the company before the Commissioner of Income Tax (Appeals) against the assessment order under Section 143(3) has been dismissed, whereas the same is still alive and pending adjudication,” the filing said.
An IndiGo spokesperson said: “The company strongly believes that the order passed by Income Tax Authority is not in accordance with law and is erroneous.”