CIT(A) partly allows Refex Industries’ tax appeal, deleting depreciation disallowance and remanding capital-gains issue
As filed · Order received from the Commissioner of Income Tax (Appeals), Chennai-20
What happened
FactThe Commissioner of Income Tax (Appeals)-20, Chennai partly allowed Refex Industries’ appeal for Assessment Year 2014-15. It deleted the Rs. 36,39,505/- depreciation disallowance and remanded the Rs. 17,47,79,079/- Long-Term Capital Gains addition for fresh quantification by the Assessing Officer, while upholding the reassessment proceedings.
Why it matters
CapitSignal interpretationAn order converts to revenue over its execution period, so its size relative to existing revenue decides whether it changes the trajectory or is routine flow.
What management said before
Prior statements by this company that CapitSignal has recorded changing.
Order Book
DelayedNew order will spill over to next financial year.
Q4 will have a good order book. I mean, we are winning many digital tender now during last four months.
Change
FactImplication
CapitSignal interpretationWatch next
Fact- Execution period stated in the order
- Whether the order book total is disclosed
- Margin commentary at the next results
- And we are continuously capturing new geography so that we achieve more quantity of the work and also the busi (management committed by FY25)
- Definitely this coming financial year we'll do much better. (management committed by FY25)
Evidence
- Order received from the Commissioner of Income Tax (Appeals), Chennai-20(opens the original filing in a new tab)
- Earlier statement · Q1 FY27
- Latest statement · Q1 FY27
- Earlier statement · Q1 FY27
How CapitSignal classified this
- Reasoning:
- The order removes the full depreciation disallowance and does not uphold the original Long-Term Capital Gains addition, but the capital-gains matter remains unresolved and will be reconsidered by the Assessing Officer. The Company is evaluating the order and may pursue a further appeal before the Income Tax Appellate Tribunal.
- Matched on:
- the filing's own subject line
- Confidence in the event type:
- 75%