On Wednesday, Yes Bank announced that it has received a tax demand notice amounting to Rs 244.20 crore for the assessment year 2016-17.
According to the bank, the reassessment order was based on the income reported in the tax return, instead of the income that had been previously assessed. This discrepancy led to a revised calculation of the reassessed income and the tax payable on it.
On April 15, 2025, the Jurisdictional Assessing Officer (JAO) issued a rectification order to correct this mistake. The order adjusted the tax calculation, but unfortunately, this resulted in an increased tax demand of Rs 244.20 crore. The bank expressed concerns that the revised demand had been raised significantly higher without clear justification.
In response to this, Yes Bank plans to immediately file a rectification application with the JAO to challenge the demand. The bank believes that the revised tax demand is not justified and is unsubstantiated. Additionally, the bank will explore other available options, including filing an appeal, to resolve the matter.
