Goa Carbon Receives ₹73.7 Crore Tax Demand Notice for FY24

Goa Carbon Limited has received an assessment order and a demand notice from the Income Tax Department for the financial year 2023-24, seeking a tax payment of ₹73.7 crore.

Details of Tax Demannd Notice 

The order, dated March 19, 2025, was issued under Section 143(3) read with Section 144B of the Income-tax Act, 1961, while the demand notice was issued under Section 156 of the Act.

According to the tax authorities, an unsecured loan of ₹74 crore, availed by the company from its promoter, has been classified as “unexplained credit” under Section 68 of the Income-tax Act.

Additionally, the department has reassessed Goa Carbon’s taxable income by adding this loan amount and disallowing interest expenses of ₹5.65 crore under Section 37. The order also proposes penalties under Sections 271AAC(1) and 270A.

In response, Goa Carbon has asserted that it has adhered to statutory requirements regarding the loan and believes it has a strong legal case. The company has until April 18, 2025, to file an appeal and is currently evaluating its legal options.

Stock Performance 

On March 21, 2025, Goa Carbon share price traded 0.62% higher at ₹455.75 at 12:18 PM (IST). Goa Carbon’s share price reached a 52-week high of ₹1,009.45, and a 52-week low of ₹390.00. As per BSE, the total traded volume for the stock stood at 2,436 shares with a turnover of ₹11.20 lakhs.

At the current price, Goa Carbon shares are trading at a price-to-earnings (P/E) ratio of -68.12x, based on its trailing 12-month earnings per share (EPS) of ₹-6.69, and a price-to-book (P/B) ratio of 1.80, according to exchange data.

Conclusion

Goa Carbon Limited has received a ₹73.7 crore tax demand notice from the Income Tax Department for FY 2023-24.

The order classifies a ₹74 crore loan from its promoter as “unexplained credit” and disallows ₹5.65 crore in interest expenses. The company plans to challenge the order and has until April 18, 2025, to appeal.

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