Xchanging Solutions Ltd disclosed that tax authorities have reaffirmed a Rs 235.9 million demand order, pertaining to prior assessment periods amid ongoing GST and income tax litigations. The company plans to pursue appellate remedies, maintaining that the matter represents a routine regulatory challenge with no immediate material impact.
Demand Order Details
Xchanging Solutions, a technology-enabled services provider in insurance and financial sectors, received confirmation of the Rs 235.9 crore (Rs 2.36 billion) tax demand on December 24, 2025. The order likely relates to transfer pricing, input tax credits, or service classification disputes common in IT-BPM firms. Management views it as contestable and intends to file appeals within timelines.
Order Highlights
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Tax demand stands at Rs 235.9 million including interest components
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Reaffirmed by appellate authorities for earlier assessment years
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Company maintains strong cash position for contingencies
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Recent quarters show revenue stability from global BPO operations
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No disruption to core business in transaction processing
Response Strategy
The firm emphasizes successful history in tax litigations and robust compliance. Investors monitor resolution amid sector peers facing similar scrutiny.
Sources: BSE Announcements, Company Filings, Tax Authority Disclosures