This company received a significant relief, with its tax demand notice reduced from ₹110 crore to ₹51 crore. Keep an eye on the stock.

News Topical, Digital Desk : Domestic FMCG company Dabur India Ltd has received a major relief from the Income Tax Appellate Tribunal (ITAT). The company said on Wednesday, November 19, that the ITAT has cancelled ₹59.37 crore out of an earlier demand of ₹110.33 crore issued under the Income Tax Act, 1961. Following this ITAT decision, the company now has a tax liability of only ₹50.96 crore. Dabur has already filed an appeal against this remaining amount before the Commissioner (Appeals).

The company said that the business impact in this matter is likely to be minimal and the final impact will be limited only to the tax liability determined by the higher appellate authorities. The ITAT order was received on November 18, 2025 at 3:36 pm.

Company's clarification
Dabur said that this update is in line with its earlier disclosures, announcement dated April 1, 2025 and subsequent quarterly governance filings. The earlier tax demand was issued by the Assistant Commissioner of Income Tax, Circle 7(1), Delhi. Expecting better growth in the second half Last month, Dabur India had said that the company expects mid- to high-single-digit earnings growth in the second half of the financial year, supported by low- to mid-single-digit volume growth. Mohit Malhotra, CEO of Dabur India, said, "The first half was impacted by GST and bad weather, particularly affecting the beverages business. However, the outlook for the second half is positive. GST reforms may provide some additional growth. We expect mid-single-digit growth for the full year." He added that GST initially proved a major hurdle, but will benefit the company in the long term. Temporary inventory adjustments by distributors and wholesalers led to a pressured quarter, but the situation is expected to normalize in the coming weeks. 

Share Performance Dabur India Ltd shares closed at ₹518.50 on the BSE on Wednesday, down ₹1.50 (0.29%) from the previous session.

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