Banking News

LIC gets tax refund of Rs 21,741 crore


The Life Insurance Corp, India’s second-most valued state company, has received more than ₹21,740 crore in refund from the income-tax department while receipts of another ₹3,700 crore are pending. These funds would boost the bottom-line of the state-run insurer, which is also India’s biggest institutional investor.

The matter pertains to income tax litigation around the utilisation of surplus and the disallowance or addition related to interim bonus, the company said in customary filings with the stock exchange.

From a cash flow perspective, LIC stands to receive ₹25,464 crore.

LIC had received refund orders for several assessment years between FY13 and FY20. The total amount of refund was ₹25,464.46 crore. In this regard, the Income Tax Department has released ₹21,740 crore on February 15. LIC is pursuing the balance with the Income Tax Department.

Shares of LIC fell 1.52% to ₹1,039 on BSE on Friday while the benchmark index rose 0.52%.

(You can now subscribe to our Economic Times WhatsApp channel)


Source link