Bank of India gets Rs 1,127.72-crore tax notice from Income Tax Department

The Bank of India on Sunday said it has received a demand notice of Rs 1,127.72 crore from the Income Tax department for the assessment year 2016-17. "The Bank has received a demand notice under section 156 of the Income Tax Act, 1961, pertaining to AY 2016-17 wherein certain disallowances have been made," the lender said in an exchange filing.  

The BOI said it is in the process of filing an appeal before the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC) against the said order within the prescribed timelines. 

"Looking to the precedence/Orders of Appellate Authorities, the Bank believes that it has adequate factual and legal grounds to reasonably substantiate its position in the matter," the lender said. 

"Accordingly, the Bank expects the entire demand to subside. As such, there is no impact on financial, operations or other activities of the Bank."