From Liability to Liberty—JK Lakshmi Cement Breathes Easy on ₹857 Cr Dues

Image Source: ET Infra

In a significant turn of events, JK Lakshmi Cement Ltd (NSE: JKLC.NS) has received a favorable tax order from the Government of India that has seen an addition of ₹603.3 million and a tax demand of ₹253.9 million deleted. The order is a significant relief for the cement firm and is expected to aid its financial position.

1. Tax Order Highlights

The Income Tax Department has passed an order under the provisions of the Income Tax Act in force for deletion of the earlier raised additions and demands.

Deleted amount is as under:

Income additions of ₹603.3 million
Tax liability, if any, of ₹253.9 million

The order pertains to the earlier assessment years after conducting a minutest scrutiny of the company's returns and books.

2. Strategic Impact

The elimination of these tax charges will likely boost JK Lakshmi Cement's bottom line and improve its balance sheet.
It is also the credit of the company's compliance culture and financial discipline.
The relief can liberate capital for scaling up in operations, repayment of debt, or distribution to shareholders.

3. Company Snapshot

JK Lakshmi Cement is a flagship entity of the JK Organisation, with a manufacturing capacity of over 13 million tonnes per annum.
It has a presence in Rajasthan, Gujarat, Chhattisgarh, and Odisha and is well-placed in northern and western India.
The firm has been focusing on green cement, digitalization, and logistics optimization.

Sources: BSE India, JK Lakshmi Cement, Moneycontrol