Hero MotoCorp, a leading two-wheeler manufacturer, has disclosed that it received an additional tax demand of ₹26.4 crore from the Income Tax Department for the assessment year 2020-21.
The demand was outlined in an order dated December 31, 2024, issued by the Deputy Commissioner of Income Tax, Central Circle 27, New Delhi, as stated in the company’s regulatory filing on Wednesday.
The company had originally filed its income tax return for FY 2020-21 on December 31, 2020. As part of the standard procedure, the tax return was thoroughly examined by the tax authorities under the provisions of the Income Tax Act, of 1961.
Following the review, the tax officer made additions to Hero MotoCorp’s reported income amounting to approximately ₹96.5 crore. This adjustment led to the additional tax demand of ₹26.4 crore.
Hero MotoCorp has stated that it is currently examining the tax order in detail and will consider all available legal remedies. These steps may include filing an appeal against the order or submitting a rectification application to address the findings.
The company’s management has expressed confidence in their position, stating that the demand raised is “unsustainable in nature.”
On January 02, 2025, Hero MotoCorp share price traded 1.79% higher at ₹4,258.30 at 12:45 PM (IST), while the BSE benchmark Sensex jumped 1035.41.82 points to 79,541.82. Hero MotoCorp share price reached a 52-week high of ₹6,245 on September 24, 2024, and a 52-week low of ₹3,930.30 on January 04, 2024. As per BSE, the total traded volume for the stock stood at 7691 shares with a turnover of ₹3.23 crore.
At the current price, Hero MotoCorp shares are trading at a price-to-earnings (P/E) ratio of 19.29x, based on its trailing 12-month earnings per share (EPS) of ₹220.80, and a price-to-book (P/B) ratio of 4.36, according to exchange data. The stock has a beta value of 2.05, indicating its volatility in the broader market.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
We're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
