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The favourable outcome has led to a reduction in ICICI Lombard’s contingent liability by ₹174.61 crore, representing the total tax in dispute for the aforementioned assessment years.
“…the company has received a Combined Order on January 9, 2025 at 5:43 p.m. passed by the Commissioner of Income Tax (Appeals) – 54, Mumbai [CIT(A)] under Section 250 of the Income Tax Act, 1961 (“Act”) disposing of appeals filed by the Company for Assessment Years (AY) 2012-13, 2015-16, 2016-17 and 2017-18,” ICICI Lombard said in a regulatory filing.
The combined order, passed on January 9, 2025, addresses appeals filed by the company for assessment years (AY) 2012-13, 2015-16, 2016-17, and 2017-18.Also Read: ICICI Lombard buys 0.19% stake in HDFC Life for ₹233 crore
The CIT(A) has allowed all substantive grounds raised in the company’s appeals against the assessment and re-assessment orders for these years, including exemptions for interest income, dividend income, and profit on the sale of investments under various sections of the Income Tax Act.
“Vide this Combined Order, the CIT(A) has allowed all substantive grounds raised in the appeals filed by the Company against the assessment order passed under Section 143(3) of the Act for AY2016-17 and AY2017-18 and re-assessment order passed under Section 143(3) read with Section 147 of the Act for AY2012-13 and AY2015-16, respectively,” it said.
Notably, the CIT(A) ruled that the provisions of Section 14A, relating to the disallowance of expenses, do not apply to general insurance companies.
Also Read: ICICI Lombard Q2 Results: Net profit jumps 20% to ₹694 cr, declares interim dividend
Shares of ICICI Lombard General Insurance Co Ltd ended at ₹1,866.30, down by ₹21.75, or 1.15%, on the BSE.
(Edited by : Shoma Bhattacharjee)
